{"id":7356,"date":"2019-02-10T05:55:02","date_gmt":"2019-02-10T05:55:02","guid":{"rendered":"http:\/\/www.styledeals.co.uk\/blog\/pensions-tougher-jail-terms-for-mismanaging-funds\/"},"modified":"2019-02-10T05:55:02","modified_gmt":"2019-02-10T05:55:02","slug":"pensions-tougher-jail-terms-for-mismanaging-funds","status":"publish","type":"post","link":"https:\/\/www.styledeals.co.uk\/blog\/pensions-tougher-jail-terms-for-mismanaging-funds\/","title":{"rendered":"Pensions: Tougher jail terms for mismanaging funds"},"content":{"rendered":"\n
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Company executives could face up to seven years in prison if they mismanage employee pension schemes.<\/p>\n

Work and Pensions Secretary Amber Rudd has proposed a new criminal offence for “wilfully or recklessly” mismanaging funds.<\/p>\n

Plans outlined last year for a maximum sentence of two years in prison were toughened up after public consultation.<\/p>\n

Writing in the Sunday Telegraph,<\/a> Ms Rudd said the law will target “the reckless few playing fast and loose”.<\/p>\n

“If you run your company pension into the ground, saddling it with massive, unsustainable debts, we’re coming for you,” she said.<\/p>\n

She said current rules mean that “acts of astonishing arrogance” by a few company directors are punished with fines “that barely dent bosses’ bank balances”.<\/p>\n

Under the new law, courts would also be given the power to levy unlimited fines for mismanagement of pensions.<\/p>\n

Dodge responsibility<\/h2>\n

The proposal follows calls for reform after one of the biggest pension scandals of the past decade, involving the retailer BHS.<\/p>\n

Just one year after tycoon Sir Philip Green sold the retail chain for \u00a31 in 2015, it collapsed along with its two pension schemes,<\/p>\n

That meant the loss of 11,000 jobs and put the pensions of 19,000 current and past employees under threat.<\/p>\n

The Pensions Regulator concluded that Sir Philip Green sold the business to dodge responsibility for the company’s pension scheme.<\/p>\n

MPs called for Sir Philip to be stripped of his knighthood and a Parliamentary report called him the unacceptable face of British capitalism.<\/p>\n

Sir Philip later agreed to pay \u00a3363m into the pension schemes.<\/p>\n<\/p><\/div>\n


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Image copyright EPA Company executives could face up to seven years in prison if they mismanage employee pension schemes. Work and Pensions Secretary Amber Rudd has proposed a new criminal offence for “wilfully or recklessly” mismanaging funds. Plans outlined last year for a maximum sentence of two years in prison were toughened up after public … <\/p>\n","protected":false},"author":0,"featured_media":7357,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-7356","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/7356","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=7356"}],"version-history":[{"count":0,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/7356\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media\/7357"}],"wp:attachment":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=7356"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=7356"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=7356"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}