Chapter VII Management and Supervision
Apart from the uses stipulated in the provisions of Article 31, the Retirement and Compensation Fund may only be utilized to make resignation, bereavement compensation, and severance payments for the staff of private schools, and resignation-related refunds for the staff of private schools who resign.
The scope of utilization of the Retirement and Compensation Fund is as follows:
1.purchase of domestic and foreign government bonds, treasury bills, short-term notes and bills, beneficiary certificates, bonds, stocks of exchange-listed or OTC-listed companies, and derivative financial instruments for hedging-purposes;
2.depositing in a bank designated by the Fund Management Committee;
3.participation in Retirement and Compensation Fund personnel welfare loans, and investment in related real estate facilities;
4.Investment in government-approved registered venture capital enterprises; and/or
5.other investments that yield a beneficial return-on-investment for the Retirement and Compensation Fund, subject to the Fund Management Committee reporting to and obtaining approval from the central competent authority.
The competent authorities, the Fund Management Committee, insurance enterprises handling annuity insurance business, and their related personnel are not permitted to externally disclose any confidential information obtained in the course of handling business pertaining to registers of staff members and related information and are not permitted to seek to obtain any illegal benefits, and they shall diligently perform the fiduciary duties of prudent administrators, and seek maximum economic benefit for staff members.
The Fund Management Committee shall set up separate accounts for and separately handle the financial matters and revenue and expenditure of the former private school retirement fund, the Retirement and Compensation Fund, and the reserve funds that private schools have delegated the fund to manage and utilize in accordance with Article 9, Paragraph 2. The Fund Management Committee shall handle the associated accounting reports and annual accounts in accordance with regulations.
Regulations governing the revenue and expenditure, management, utilization, and allocation of any surplus or deficit of the Retirement and Compensation Fund and of the former private school retirement fund, and other related matters shall be prescribed by the central competent authority.
The Fund Management Committee shall review the revenue and expenditure, utilization, and any surplus or deficit of the Retirement and Compensation Fund and then publicly disclose their findings on a monthly basis, and submit them to the central competent authority for recordation. When necessary, the central competent authority may audit the registers of staff members, records of contributions, and associated material.
The expenses incurred by the Fund Management Committee carrying out the various operations required in association with this Act may be paid from the former private school retirement fund and included in the annual budget.
If a private school acts in breach of the provisions of this Act governing contributions to the Retirement and Compensation Fund, after receiving a report from the Fund Management Committee, the competent authority for the school shall order the school to remedy the situation within a specified period. If the situation is not satisfactorily remedied within the specified period, the competent authority shall suspend financial incentives and subsidies to that school in whole or in part.
If a staff member who is retiring, resigning, or leaving employment with severance pay or a survivor who is lodging a claim to receive bereavement compensation is not satisfied with a review and approval decision made regarding his or her retirement, resignation, severance, or bereavement compensation payments, the person may initiate the remedy procedures available under the law.