PFRDA says the amendments in key areas aim at simplification and reducing compliance. (Representative image)
The amendments are in line with the Union Budget 2023-24 announcement to review regulations to reduce the cost of compliance and enhance the ease of doing business
In order to simplify the provisions related to NPS Trust and pension funds, the Pension Fund Regulatory and Development Authority (PFRDA) on Wednesday notified the amendments. The amendments are related to appointments to NPS Trust and PF disclosures.
The amendments are in line with the Union Budget 2023-24 announcement to review regulations to reduce the cost of compliance and enhance the ease of doing business.
“The amendments to NPS Trust Regulations simplify the provisions related to appointment of Trustees, their terms and conditions, holding of meetings of Board of Trustees and appointment of CEO – NPS Trust,” the PFRDA said.
On amendments to Pension Fund Regulations, the PFRDA said the amendments simplify the provisions related to governance of Pension Funds in line with Companies Act, 2013 and enhanced disclosure by Pension Funds.
The other notable amendments inter alia include:
– Clarity of roles of Sponsor of Pension Fund & Pension Fund along with compliance to ‘fit and proper person’ criteria.
– Constitution of additional Board committees by Pension Funds such as the Audit Committee and Nomination & Remuneration Committee.
– Inclusion of name ‘Pension Fund’ in name clause and requirement of existing pension fund(s) to comply with this provisions within a period of 12 months.
– The annual report of schemes managed by the pension fund to include directors’ responsibility statement.
“The amendments in key areas aim at simplification and reducing compliance,” it said.
Source: News18