A Public School System teacher has asked the federal court to allow her to intervene into the lawsuit filed by retiree Betty Johnson against the NMI Retirement Fund, Gov. Benigno R. Fitial, and other co-defendants.
Phyllis M. Ain requested the U.S. District Court for the NMI to direct the Fund administrator to comply with statutory duty to act on and approve employee withdrawal applications.
Ain opposed appointing Fund Trustee ad litem Joseph C. Razzano as permanent Fund receiver.
The teacher said that, on Sept. 15, 2012, she submitted her application to terminate Fund membership and filed for a refund of her employee contributions.
Ain further directed the Fund to cease its deduction of employee contributions from her salary.
She said that, on Nov. 2, 2012, PSS, through a memorandum from its commissioner, announced that it would not stop employee deductions.
Ain said Johnson is a retiree seeking to require the government and the Fund to fulfill their promise of providing retiree benefits.
“As a retiree, Betty Johnson is no longer contributing a portion of her salary to the Fund,” she said.
The teacher said while Johson and the retirees like her, have a legitimate interest in insuring that the Fund continues to pay out retirement benefits, neither Johnson nor any other retirees has any interest in insuring that current government employees are able to protect their own retirement by removing their employee contributions from the Defined Benefit Plan.
Ain said Razzano and the Fund administrator have announced their intent to refuse to act on and approve employee withdrawal applications.
Ain said in their single-minded pursuit of assisting retirees, the Fund and Razzano have ignored their obligations to those active employees who desire to end their contributions and plan for their own retirement.