Document ID: chunk:federal_register_of_legislation:C2022C00261:section:52:p17
Version: federal_register_of_legislation:C2022C00261
Segment Type: section
Provision Reference: s 52 (pt 17/48)
Character Range: 72822–75390

he or she so elects:
     (a) his or her employer benefit is payable to him or her as a lump sum; and
     (b) he or she is not entitled to elect under subrule 12 (3) to have applicable to him or her a preserved benefit of his or her member benefit.
(4) In spite of anything in this rule or in rule 12, where a person to whom this rule applies does not elect that there be applicable to him or her a preserved benefit of the amount of his or her member benefit, there is not applicable to him or her a preserved benefit of his or her employer benefit, but instead:
     (a) if the employer benefit is an amount referred to in subrule (2), it is payable to a preservation fund, or used to purchase a deferred annuity, of his or her choice; or
     (b) in any other case, it is payable to him or her as a lump sum.
(5) In this rule:
"preservation fund" means a fund that is required, in accordance with the standards set out in the Occupational Superannuation Standards Regulations, to preserve benefits transferred to the fund from a superannuation fund in accordance with those regulations.
Limitation on certain benefits in case of certain transferees who retire before completing 731 days' service after 30 September 1991
16. (1) Where a person who transferred from the 1973 Scheme before 1 October 1992 retires before completing 731 days of contributory service after 30 September 1991 otherwise than:
     (a) on reaching his or her retiring age; or
     (b) on the ground of invalidity, redundancy or retrenchment;
the amount of member benefit which he or she would, but for this rule, be entitled to be paid is reduced by substituting for the amount of interest applicable in relation to him or her under the relevant provisions an amount calculated in accordance with the formula:

where:
"Notional interest" means the amount of interest applicable in relation to the person under the relevant provisions; and
"Number of days of contributory service" means the number of days of contributory service by the person after 30 September 1991.
(2) A reference in this rule to a person who retires on the ground of invalidity is taken not to include a reference to a person who, by reason of rule 31, 32 or 33, is not entitled to invalidity benefits.
(3) In this rule:
"contributory service", in relation to a person, means service by the person in respect of which the person paid contributions under Part 2 or contributions under section 17 of the 1973 Act;
"relevant provisions" means subparagraph (e) (ii) of Schedule 9 and paragraph 1(b) of Schedule 10.
Division