We Saved N7bn Attaching BVN To Pensioners’ Verification, PTAD

By LOVETH AZODO, Lagos

The Pension Transitional Arrangement Directorate (PTAD) has revealed that it decision to attach Bank Verification Number (BVN) in its verification of pensioners under the Defined Benefit Scheme has aided in conserving N7bn that would have been paid out to dead or dubious pensioners.

The exercises got rid of 19,018 pensioners whom before the exercise have been receiving monthly pensions from the Federal Government.

Speaking at the Training workshop for Pension Correspondent in Lagos, the Executive Secretary of PTAD, Dr. Chioma Ejikeme said that the Directorate has worked assiduously to change the narrative of pension administration in Nigeria, especially under the Defined Benefits Scheme.

According to her, the efforts of PTAD has yielded and has continued to yield positive results.

“Pension management in Nigeria is a very sensitive issue, and PTAD has been at the fore front since inception, ensuring that the welfare of pensioners under the Defined Benefit Scheme remains a priority,” she said.

Also speaking, The director, Parastatals Pension department (PaPD), PTAD, Kabiru Yusuf who represented the ED revealed that PTAD Inherited N129.4bn unfunded liabilities from treasury fund parastatals, ex-PHCN pensioners and defunct agencies.

Highlighting categories of the liabilities, he explained that the Treasury Funded Parastatals is a group with claims of arrears relating to unpaid/short paid gratuity and unpaid pension for some period prior to being enrolled for monthly pension by their Agency/ Insurance underwriter that was hitherto responsible for managing their pension before the establishment of and take-over of monthly pension by PTAD.

On Treasury Funded Parastatals, he said, these group have claims of arrears relating to unpaid/short paid gratuity and unpaid pension for some period prior to being enrolled for monthly pension by their Agency/ Insurance underwriter that was hitherto responsible for managing their pension before the establishment of and take-over of monthly pension by PTAD.

On Ex-PHCN liabilities, he said: “these group of ex-workers of defunct PHCN were transferred to PTAD by the National Electricity Liability Management Company (NELMCO) that was hitherto mandated to manage and pay the monthly pensions and accrued benefits of these disengaged workers, as a consequence of the privatization of the electricity sector and the unbundling of conglomerate known as Power Holding Company of Nigeria (PHCN).”

“Defunct Agencies, “these category of pensioners or ex-workers of privatized or liquidated agencies that were disengaged at privatization or liquidation are owed arrears of pension from the period that the commuted pension hitherto paid to them (at the time of their disengagement) elapsed, to the time that PTAD enrolled and commenced the payment of monthly pension to them.” he explained.
He added that out of the three groups on Defunct Agencies only one has been validated and computed for payment of benefit.

According to him, 2700 pensioners’ accounts have been suspended due to Continous failed transactions. “these account holders never came back for complaints however they are under investigation,” he said.