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42 · तारीख 27 फरवरी, 2008 

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1 · Short title and commencement.—(1) These regulations may be called the Pension Fund Regulatory and Development Authority (National Pension System Trust) Regulations, 2015.

5 · Eligibility for appointment as trustees.- (1) The Authority shall appoint trustees to the Board of National Pension System Trust in accordance with these regulations.

6 · Cessation of office of trustee.-The office of a trustee shall be treated as vacated if he or she-

7 · Term of office of trustees.- (1)Every trustee shall be appointed by the Authority for a term of three years which may, if the Authority deems fit, be extended not more than two years.

8 · Resignation and removal of trustees.- (1) Any trustee may, by thirty days notice in writing under his hand addressed to the Authority, resign his or her office. The office of the trustee shall fall vacant from the date on which his or her resignation has been accepted and he or she is relieved by the Authority. A trustee who has resigned, shall not be eligible for appointment as a trustee, for a period of two years from the date of his or her resignation.

9 · Objectives of National Pension System Trust.-(1)The National Pension System Trust is established for taking care of the assets and funds under the National Pension System in the interest of the subscribers and monitoring and evaluation of all operational and Service level activities under the National Pension System. The Authority may by issuance of appropriate guidelines direct that the National Pension System Trust shall have such other powers and duties in relation to any other pension scheme, referred to in clause(b) of sub-section (1) of section 12 of the Act, as may, in the interest of subscribers, be deemed necessary.

10 · Management of the National Pension System Trust.- (1) The National Pension System Trust shall be managed by a Board of Trustees, consisting of a minimum of five trustees and not more than eleven trustees as may be appointed from time to time by the Authority.

11 · Powers and functions of the Board of Trustees.- (1) Subject to the provisions of the Act and these regulations, the Board of Trustees of the National Pension System Trust shall have the legal ownership of the trust and the funds, and that the general superintendence, direction and management of the affairs of the trust, and all powers, authorities and discretions appurtenant to or incidental to the purpose of the trust shall absolutely vest in the Board of Trustees:

12 · Obligations, duties, responsibilities and liabilities of Board of Trustees.- The Board of Trustees shall be responsible for the monitoring of the operational and service level functions under the National Pension System or any other pension scheme regulated under the Act, if it isso directed by the Authority. The scope of the National Pension System Trust role shall include activities relating to exit of the subscriber from the National Pension System, redressal of subscriber grievances in accordance with the Pension Fund Regulatory and Development Authority (Redressal of Subscriber Grievance) Regulations, 2015 and other responsibilities, in particular, the following shall be obligations, duties, responsibilities and liabilities of the Board of Trustees, namely:-

13 · General and specific due diligence.- (1) The Board of Trustees shall exercise the following due diligence, namely:-

14 · Maintenance of records. - (1) The National Pension System Trust shall maintain such books and accounts in such form and in a manner as may be determined by the Authority, in addition to those that are statutorily required to be maintained. The National Pension System Trust shall cause its accounts to be audited by a chartered accountant on every financial year in such manner as may be directed by the Authority from time to time.

15 · Right to inspection and audit.- (1) Notwithstanding anything contained in Chapter IV, the Authority may, if it considers necessary at any time, undertake directly or through its authorized representative, inspection and audit of the books, accounts, records including telephone records and electronic records and documents of the National Pension System Trust for any purpose, including the purposes as specified under this regulation.

16 · Notice before inspection or audit.-Before undertaking an inspection or audit under the regulation 15, the Authority or its authorised representative or the auditor shall give ten working days notice to the National Pension System Trust or may conduct any inspection or audit without any prior notice if the Authority is satisfied that such inspection or audit is required for safeguarding the interest of the subscribers.

17 · Obligations of the National Pension System Trust on inspection or audit.- (1)It shall be the duty of every trustee, Chief Executive Officer, officer and employee of the National Pension System Trust, to produce to the Authority or its authorised representative or auditor such books, accounts, records including telephone records and electronic records and documents in his custody or control and furnish to it or him with such statements and information relating to activitiesentrusted to it or him by the Authority, as it or he may require, within such reasonable period as may be specified.

18 · Submission of report to the Authority.-On completion of the inspection and audit, a report shall be submitted to the Authority, who shall, after consideration of the report, take such action as it may deem fit and appropriate in the interest of the subscribers.

19 · Payment of inspection and audit fees.-The Authority shall be entitled to recover such expenses incurred by it for the purposes of inspection and audit undertaken directly or through its authorised representative.

20 · Definitions.- In this Chapter, unless the context otherwise requires,-

21 · Contravention of provisions of Act, etc.- Where the National Pension System Trust or any of its officers or any person concerned contravenes any of the provisions of the Act or the regulations made or directions, instructions or circulars issued thereunder or the Trust Deed, the Authority may, without prejudice to any action under the Act or the

22 · Appointment of designated authority.- (1) Where it appears to the designated member that the National Pension System Trust or any other concerned person has committed any default of the nature specified in regulation 21 he may appoint an officer not below the rank of Chief General Manager, or any other officer of an equivalent rank as a designated authority.

23 · Issuance of notice.- (1) The designated authority shall, if he finds reasonable grounds to do so, issue a notice to the National Pension System Trust or any other concerned person requiring it to show cause as to why any action under the provisions of the Act or these regulations should not be taken.

24 · Reply by noticee. – (1) The noticee shall submit to the designated authority its written representation within the period specified in the notice along with documentary evidence, if any, in support thereof:

25 · Action in case of default.- After considering the representations, if any, of the noticee, the facts and circumstances of the case and applicable provisions of the Act, rules, regulations, directions or circulars administered by the Authority, the designated authority shall submit a report, where the facts so warrant, recommending, such action as he may deem fit including removal of any trustee or any officer of the National Pension System Trust, or debarring the trustee or the officer from being employed with any registered intermediary or issuing warning to the notice, as the case may be.

26 · Procedure for action on recommendation.- (1) On receipt of the report recommending measures from the designated authority, the designated member shall consider the same and issue a show cause notice to the noticee enclosing a copy of the report submitted by the designated authority calling upon the noticee to submit its written representation as to why the action, including passing of appropriate direction, should not be taken.

27 · The designated member may pass a common order in respect of a number of noticees where the subject-matter in question is substantially the same or similar in nature.

28 · Intimation of order.-(1) Every report made by a designated authority and every order made by the designated member under these regulations shall be dated and signed.

29 · Penalty and adjudication.-The imposition of penalty, if any, on the National Pension System Trust or any officer thereof or any person concerned shall be in accordance with the provisions of the Act and the Pension Fund Regulatory and Development Authority(Procedure for Inquiry by Adjudicating Officer) Regulations, 2015.

30 · Appeals to Securities Appellate Tribunal.-The National Pension System Trust or any officer thereof or any person concerned if aggrieved by any order passed by the designated member may prefer an appeal before the Securities Appellate Tribunal under sub-section (1) of section 36 of the Act.

31 · Revocation of the National Pension System Trust.-The National Pension System Trust shall be irrevocable, save at the instance of the Authority. In the event of revocation, all the funds, assets and other properties of the National Pension System Trust shall be transferred to another trust created by the Authority or shall vest with the Authority.

32 · Power to issue directions and amend the National Pension System Trust Deed.- The Authority,-

33 · Amendment to the Trust Deed.-Any amendment to the Trust Deed shall be made by a deed of amendment, but such an amendment shall not revoke any of the trusts herein declared or resume, recover or divert the National Pension System Trust's funds or any part thereof or to apply the National Pension System Trust's fund for any purposes other than the purposes of the National Pension System Trust.

34 · Provisions of Indian Trust Act, 1882 to override.- Without prejudice to what has been provided in these regulations, the National Pension System Trust and Board of Trustees shall be bound by the provisions of the Indian Trusts Act, 1882 (2 of 1882).

35 · Systems and procedures.- The National Pension System Trust shall,-

36 · Monitoring, review, evaluating and inspecting systems and controls.-The National Pension System Trust,-

37 · Prohibition of assignment.-The National Pension System Trust shall not assign or delegate its functions to any other person unless such person is authorized by the Authority.

38 · Confidentiality.-The National Pension System Trusts shall ensure safety of all the records, data and information received by it under the National Pension System. Further, it shall maintain confidentiality with respect to all records, data and information received by it under the National Pension System. It shall not, without the prior permission of the

39 · Co-operation and support.-The National Pension System Trust shall,-

40 · Appointment of compliance officer. –

41 · Power to delegate.- The Board of Trustees of the National Pension System Trust may, by a special resolution passed, resolve that the powers exercised by it under these regulation shall, in relation to such matters and subject to such conditions, if any, as may be specified in the resolution, be exercisable also by the Chief Executive Officer.

42 · The trust deed, dated 27 th February, 2008,alongwith any amendments thereto, shall be deemed to be the trust deed referred to in regulation 3. Such trust deed shall remain in full force and effect, until extinguished. All actions taken by the National Pension System Trust, under the trust deed dated 27 th February, 2008, alongwith amendments thereto, shall remain valid and binding.

43 · The provisions of this Chapter shall apply to the pension schemes other than National Pension System and, any other pension scheme referred to in clause (b) of sub-section (1) of section 12 of the Act.

44 · The pension schemes referred to in regulation 43shall be constituted in the form of a trust and the instrument of trust shall be in the form of a deed, executed by the sponsor in favour of the trustees and duly registered under the provisions of the Registration Act, 1908 (16 of 1908).

45 · The qualifications and the disabilities of the trustees shall be as specified in the case of Board of Trustees under the National Pension System under regulation 5. The trustees shall cease to be trustees as specified under regulation 6.

46 · The Trust Deed shall contain at least the indicative contents of the Trust deed provided in regulation 4 of this regulation and applicable for the National Pension System Trust and the trustees shall at all times adhere to the code of conduct set out in Schedule III.

47 · The trustees shall have the same powers, duties, functions and responsibilities as are applicable in the case of Board of Trustees under the National Pension System, provided in these regulations, excepting that any reference to the words National Pension System Trust as appearing in these regulations shall be substituted with the words "pension scheme" and shall mean as such. Any reference to intermediaries generally or specifically by name under the National Pension System, shall be substituted with such intermediaries or entities as are or shall be rendering services to the pension schemes other than National Pension System.

48 · No such pension scheme shall commence its activities unless registered with the Authority and the existing pension schemes shall conform to these regulations and operational guidelines that may be issued by the Authority, on the date to be notified by the Authority.

8 · The trustees shall render at all times high standards of service, exercise due diligence, ensure proper care and exercise independent professional judgment.

10 · Trustees shall maintain confidentiality of information of the subscribers under the pension scheme .

11 · Trustees shall communicate with the Authority and other intermediaries or entities of such pension scheme, in a timely, accurate and transparent manner.