Over $185,000 is currently unaccounted for within the Fiji National Provident Fund’s Suspense Account as efforts continue to ascertain the rightful identities of the affected workers. The Fund’s 2024 annual report, released recently, highlighted that $185,714.62 was recorded in this Suspense Account for the year, a notable increase from $110,610.27 in 2023.
This rise is primarily attributed to the recovery of long-standing contribution debts and undistributed contributions from previous years. The Fund acknowledged the challenge of resolving these entries, particularly due to the closure of many businesses, which complicates the process of determining the rightful owners of these funds.
To assist those businesses that are still operational, the FNPF has been proactive in reaching out to help employers identify their employees and ensure accurate information is submitted so contributions can be properly credited to members’ accounts.
Additionally, FNPF reported transferring $12,640.61 of member funds to the Unclaimed Deposits Account after conducting due diligence, noting that these funds could not be traced back to individuals due to insufficient details provided by employers.
The responsibility for providing correct employee information lies with the employers during the recruitment process, and the Fund is committed to collaborating with them to resolve issues surrounding member savings currently held in suspense.
Looking ahead, starting January 1, 2025, a new penalty regime for late contributions will come into effect, aiming to streamline contributions and reduce the number of funds entering the Suspense Account due to inadequate or incorrect employee details.
In summary, the FNPF is taking significant steps to address the issue of unaccounted funds, showing commitment to transparency and assistance in cleaning up the Suspense Account while ensuring that employers are held accountable for accurate reporting. This proactive approach is encouraging and offers hope for a more efficient management of funds in the future, ultimately benefiting members and fostering trust in the system.
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