9 Jul 2009

CNMI Retirement Fund clarifies withdrawal policy

1:36 pm on 9 July 2009

The CNMI Retirement Fund chairman says suspending refund payments is temporary until the government pays its lawful contribution to the Fund.

The Board voted unanimously this week to suspend all refund payments to members from September the 1st.

The Fund's chairman Juan Guerrero says that it is only until the Fund recovers from its fiscal emergency.

Although costly legal court action over the government's contribution to the Fund was successful, he says until that money is paid into the Fund, a ban on withdrawals is necessary.

"Basically, if we dont do anything at this point to minimise withdrawal, the impact in meeting the current monthly benefits paid out to beneficiaries, or pensioners, would be greatly impacted."

Juan Guerrero says they aren't expecting too many applications from Fund members wanting a refund by the September 1st.