LASF Team Appears before the Parliamentary Committee on Parastatal Bodies
- November 12, 2021
- Posted by: kalaluka
- Category: Uncategorized
A high-level team of the Local Authorities Superannuation Fund management on Wednesday, November 10,2021, appeared before the Parliamentary Committee on Parastatal Bodies, chaired by Hon Brian Kambita, MP, to answer audit queries.
The team which was led by the Ministry of Local Government and Rural Infrastructure Acting Permanent Secretary Mwila Kasonde was composed of the LASF Acting Board Chairperson Peter Banda, Managing Director George Chileshe Director of Corporate Services Bwalya Mubanga, Director of Finance Kunda Kaunda and Director of Contributions and Benefits Milner Mooba.
Mr Chileshe informed he Parliamentary Committee that there was need to have the LASF Act amended to facilitate the reforms at the scheme so that it can work to supplement NAPSA in providing additional benefits. He further indicated that the National Pension Scheme does not require to be amended as part of the LASF reform. He said Government being the principal shareholder of the Fund, had a mandate to determine the way forward.
Mr Chileshe added that the legal opinion provided by the Attorney General concerning the closure of LASF had shown that there was no law that compelled such an action. He said the Fund had started working on a reform programme, to redesign the LASF Scheme with an aim of opening up to new members which would then ensure an improvement in contributions income and therefore wean the institution off Government funding within three years of its implementation. The Managing Director further added that the continued failure by Associated Members to remit members’ contributions on time had continued to negatively affect the Fund’s ability to meet its mandate to pay the pensioners. He however said that the Fund had devised mechanisms of reducing the debt it was owed by various local authorities and through initiatives such as the land – debt swap where about K5 million had been realised.