Retirement Compensation Arrangements Regulations, No. 1

12 (1) Where an amount payable by a participant pursuant to section 8 or 9 is unpaid at the expiration of the period in respect of which an election applies and the participant has not revoked the election in respect of the period for which the amount payable is owing, the Minister shall notify the participant in writing of the amount payable and demand that the amount be paid within 60 days after the date of the notice.

(2) If, at the expiration of the 60-day period, the amount payable has not been paid and the participant has not revoked the election, that amount shall be deducted,

• (a) where the benefit is payable monthly,

  • (i) by reservation from the monthly benefit in approximately equal instalments equal to the lesser of

    • (A) the unpaid amount divided by the number of months in respect of which the contributions are unpaid, and

    • (B) 30 per cent of the gross monthly benefit, or

  • (ii) if the recipient so elects, in a lump sum at the time the benefit becomes payable; and

• (b) in any other case, in a lump sum at the time the benefit becomes payable.