Legislators approved long awaited regulations for the four year old National Pension Scheme.

But there are hundreds of employers already flouting the law which provides for private occupational pension plans for Bermudians, Finance Minister Paula Cox reported in introducing the regulations.

The regulations, the third set since the National Pension Scheme Act was passed over four years ago, specify funding requirements of defined benefit plans to ensure that the plans can pay off the promised retirement benefits.

?Where there are any deficiencies in funding of the plan, employers will be required to make special payments in order to ensure that the plan is properly funded and able to pay the future defined benefits,? Ms Cox said.

Other aspects of the new regulations specify how the Pension Commission should be notified when plans are transferred, the requirements for transferring a defined contribution plan into a defined benefit plan or vice versa and for transferring the assets and liabilities of one defined benefit plan into another.

Reporting requirements, where changes to a plan reduces or increases contributions, are also covered under the new regulations.

And the regulations protects money collected for a pension fund, from creditors trying to force a company into liquidation.

Ms Cox addressed Opposition concerns about the fact that there are now two parallel pension funds ? the original contributory pension fund and the new National Pension Scheme.

She said that once all the plans under the National Pension Scheme have been registered, and compliance issues resolved, she will ask the Pension Commission to explore the possibility of integrating the two.

Ms Cox told the House that some 747 employers and self employed persons were delinquent.

?These are employers that are not making the required contributions into the pension fund within the prescribed time of 30 days following the month in which the employee?s contributions are withheld, together with the employer?s contributions,? she said. ?Many of these are not only making their required contributions but they are deducting the contributions from their employees? pay cheques and may be using the funds for personal or working capital purposes.?

She said in such cases the Pension Commission will inform the employer of their non compliance and, in general, give them a few months to correct the situation.

Commission staff will consider further action if they ?determine that the employer is unwilling or unable to take the required corrective action?.

But most employers correct the situation before more serious steps are required, she said.

?Let me assure this Honourable House that this Government and the Pension Commission are committed to ensuring that non-compliant employers are made accountable and responsible to the fullest extent possible under the Act,? Ms Cox continued.

?As an example of this resolve, there are persons currently before the court charged with having committed multiple offences under the Act.?