John Deasy (Waterford, Fine Gael)
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Question 140: To ask the Minister for Social and Family Affairs his views of the comments of the Pensions Ombudsman on page 23 of his Annual Report 2005 regarding a more sinister use of section 48 (3) of the Pensions Act, 1990; if he will examine this issue; and if he will make a statement on the matter. [31852/06]

Séamus Brennan (Dublin South, Fianna Fail)
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Section 48 (3) of the Pensions Act contains a provision which enables trustees of a pension scheme which is being wound up to make a transfer payment to another occupational pension scheme, without the consent of members.

This legislation was used in one case highlighted by the Pensions Ombudsman to transfer the members of a scheme to another scheme run by the same employer, rather than having their benefits secured by the purchase of an annuity.

The Pensions Board is reviewing the manner in which this section of the Pensions Act was used in this case and will, if considered appropriate, recommend legislative change which will be considered in the context of the next Social Welfare and Pensions Bill.