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Pensions Ombudsman: Teachers’ Pension Scheme must refund excess employer contributions to original corporate employer; no set-off against successor’s debts; importance of naming the correct claimant

Published on: 29 April 2024

Published by a LexisNexis Pensions expert
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Article summary

Original news Mr D (CAS-32978-T3X8)—17 October 2023

Summary

The PO found in favour of a complaint challenging a pension scheme’s decision not to return overpaid employer contributions. It concluded the surplus should be refunded to the member’s employer, which in this case was the complainant’s incorporated company. No proof was provided of any arrangement assigning the entitlement to a refund to a successor employer. Nor was there a sufficient link between the amount owed to the complainant’s company and a liability the successor employer owed the scheme to permit the scheme to net the two amounts off. The PO’s ruling underlines how critical it is to identify the proper parties to a complaint. Accordingly, the refund could neither be redirected nor set off against unrelated sums...

What were the facts?

Mr D served as the principal director and shareholder of Tower House School Torbay Ltd (THST)...

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