Clause 2

in subsection (1), replace “subsections (7A), (7B), (7C), (7D) and (7G)” with “this Act”;

in subsection (1)(c), after “special account”, insert “or a retirement account, or both”;

after subsection (5), insert —“(5AA) Despite subsection (5), where a member’s special account is closed under section 13AA(1), the Board may credit any interest mentioned in section 6(4) that had accrued to the amount standing to the credit of the member in the member’s special account in the following manner:

if there is a shortfall in the retirement sum applicable to the member, or in the amount specified by the Minister for the member pursuant to section 15AA(5)(a) — credit the interest to the member’s retirement account, even if the interest so credited exceeds that shortfall;

in any other case or if (despite paragraph (a)) the prescribed circumstances apply — credit the interest to the member’s ordinary account.”;

after subsection (7C), insert —“(7CA) Where Account A mentioned in subsection (7C) is a special account that has since been closed under section 13AA(1), subsection (7C) applies with the following modifications:

any amount to be restored to Account A under subsection (7C)(a) may be paid to the member’s accounts in the Fund in accordance with section 13AA(4);

any interest (in respect of the restored amount) to be paid into Account A under subsection (7C)(b) may be paid to the member’s accounts in the Fund in accordance with section 13AA(5) or (6), whichever is applicable.”;

after subsection (7G), insert —“(7GA) Subsections (7E), (7F) and (7G) apply in respect of the restoration of any amount or payment of any interest under subsection (7C) read with subsection (7CA), and a reference in subsections (7E), (7F) and (7G) to subsection (7C)(a) or (b) or subsection (7C) includes a reference to any of those provisions as modified by subsection (7CA).”;

after subsection (7H), insert —“(7HA) Where either Account A or Account B (mentioned in subsection (7H)) or both are special accounts that have since been closed under section 13AA(1), subsection (7H) applies with the following modifications:

if only Account A is closed —

any amount to be restored to Account A under subsection (7H)(a) may be paid to the member’s accounts in the Fund in accordance with section 13AA(4); and

any interest (in respect of the restored amount) to be paid to Account A under subsection (7H)(b) may be paid to the member’s accounts in the Fund in accordance with section 13AA(5) or (6), whichever is applicable;

if only Account B is closed —

any amount to be restored to Account A under subsection (7H)(a) may be deducted from the accounts in the Fund of the member for whom Account B was maintained, in accordance with section 13AA(7) or (8), whichever is applicable; and

any interest to be transferred to the general moneys of the Fund under subsection (7H)(c) may be transferred from the accounts in the Fund of the member for whom Account B was maintained, in accordance with section 13AA(7) or (8), whichever is applicable;

if both Account A of a member (called Member A) and Account B of another member (called Member B) are closed —

any amount to be restored to Account A under subsection (7H)(a) may be paid to Member A’s accounts in the Fund in accordance with section 13AA(4), by a deduction from Member B’s accounts in the Fund in accordance with section 13AA(7) or (8), whichever is applicable;

subsection (7H)(b) applies, in relation to Member A, as modified by paragraph (a)(ii); and

subsection (7H)(c) applies, in relation to Member B, as modified by paragraph (b)(ii).(7HB) Where the money transferred to Account B mentioned in subsection (7H) has been transferred to another account in the Fund of the member (called in this subsection Account C) pursuant to subsection (7C), section 15(6CA), 15AA(5) or 18(4), subsection (7H) applies with the following modifications:

any amount to be restored to Account A under subsection (7H)(a) may be deducted from Account C;

any interest to be transferred to the general moneys of the Fund under subsection (7H)(c) may be transferred from Account C, and is the whole or any part, as the Board may determine, of —

any interest paid on the restored amount while the restored amount was in Account B and Account C; and

if applicable, any interest paid in respect of the restored amount in connection with an initial transfer specified in subsection (7D).”;

replace subsection (7I) with —“(7I) Where the Board has credited any money to a member’s account in the Fund (called in this subsection Account A) under section 13(4), 13B(2) or 13C, or where any money has been paid into Account A under section 18(1)(b) or (c), (2)(b) or (3)(b) or any regulations made under section 77(1), the Board may, on the Board’s own motion or on an application to the Board, and subject to any terms and conditions that the Board may impose —

refund to the person who paid the money, or pay to any person whom the Board is satisfied is entitled to that payment, the whole or any part of the money (called in this subsection the relevant amount) by a deduction from any of the following accounts in the Fund of the member:

Account A;

if Account A is a special account that has since been closed under section 13AA(1) — the member’s accounts in the Fund in accordance with section 13AA(7) or (8), whichever is applicable;

if the money credited or paid into Account A has been transferred from Account A to another account in the Fund of the member (called in this subsection Account B) pursuant to subsection (7C), section 15(6CA), 15AA(5) or 18(5) — Account B; and

transfer interest to the general moneys of the Fund in the following manner:

if paragraph (a)(i) applies — transfer from Account A, the whole or any part, as the Board may determine, of the interest paid on the relevant amount while the relevant amount was in Account A;

if paragraph (a)(ii) applies — transfer any interest in respect of the relevant amount from the member’s accounts in the Fund in accordance with section 13AA(7) or (8), whichever is applicable;

if paragraph (a)(iii) applies — transfer from Account B, the whole or any part, as the Board may determine, of —

the interest paid on the relevant amount while the relevant amount was in Account A and Account B; and

if applicable, any interest paid in respect of the relevant amount in connection with an initial transfer specified in subsection (7D).”; and

in subsection (8), delete “(if any)”.