Payment of retirees’ deferred 25 percent pension from Oct. 1, 2013 to June 30, 2014 didn’t hit their accounts yesterday as expected. But the administration said it is now in the hands of the bank, and not the NMI Retirement Fund or the government.
Acting press secretary Ivan Blanco said the funds have been released from the government side to the NMI Retirement Fund account.
“I’m sure the banks are working diligently to release the funds,” Blanco told Saipan Tribune.
Funds from Best Sunshine International Ltd.’s $30-million deposit related to its receipt of an exclusive Saipan integrated casino resort license will be used to pay retirees’ deferred 25 percent pension and for interest payment on withdrawn defined benefit plan contributions. The latter is expected to be released by the Department of Finance next week.
As of yesterday, there is no telling when the funds will hit retirees’ accounts but government officials said it would be soon.
Retirees should expect a nine-month payment, covering Oct. 1, 2013 to June 30, 2014. The payments for the July to September quarter are expected in early October. Future disbursements of restored 25 percent pension will be made on a quarterly basis.
Casino license funds were transferred from the escrow to Bank of Guam on Friday morning. Thereafter, funds were transferred from Bank of Guam to Bank of Hawaii. The NMI Retirement Fund processed the payments, and as of Friday, funds were expected to hit retiree accounts yesterday.
The $3.14-billion casino license agreement between Best Sunshine/Imperial Pacific and the Lottery Commission on behalf of the CNMI is the single-largest development in the CNMI’s recent history.