Explanatory Memorandum
This Bill amends the National Insurance and Social Security Act (Cap.36:01).
Clause 2 inserts a new section into the Act, which provides that the General Manager must submit annual contribution statements and annual compliance reports to employees and employers, respectively.
Clauses 3, 4 and 5 increase the penalties tor offences under the Act.
Clause 6 inserts a new section, which equates the National Insurance and Social Security Act with the Procurement Act 2003. It provides that every employer or self-employed person who tenders for a government contract must submit a compliance certificate issued by the General Manager.
A new Schedule A is inserted, which contains the forms for the certificates of compliance.
The first amendment amends the Principal Act by insertion immediately after section 17, of the following sections as 17A.
l7A. (1) The General Manager shall submit records of contributions to employees promptly and the records are to be known as annual contribution statements.
(2) The General Manager shall provide to employers annua1 compliance reports of their payments of contributions on behalf of their employees.
Section 30 of the Principal Act Cap.
(5) Any person who contravenes the provisions of Subsection (4), or who in the purported performance of duties under this Act obtains or seeks to obtain information which he is not authorized to obtain, shall be liable, on summary Conviction, to a fine of five thousand dollars, and to imprisonment for a term of six months.
THE AMENDMENT CHANGES the word “five” for the word “fifteen”.
Section 41 of the Principal Act states
(1) Any Insured Person or Employer who fails to pay at or within the time prescribed for the purpose any Contribution that he is liable to pay, pursuant to this Act, shall for each such failure be liable, on summary Conviction to a fine of three thousand dollars, and in default of such payment, to imprisonment for a term not exceeding three months.
THE AMENDMENT CHANGES the word “three” to “fifteen”.
(2) Any person who-
(a) Wilfully delays or obstructs an Inspector in the exercise of any power under Section 31; or
(b) Refuses or neglects to answer any question or to furnish any information or to produce any documents when required so to do under Section 31, shall be liable, on summary Conviction, to a fine of three thousand dollars in the case of a first offence – and of five thousand dollars in the case of a second or subsequent offence.
THE AMENDMENT states that the words “three” and “fifteen” should be changed to “thirty” and “fifty”. There is no “fifteen” in the Principal Act.
(3) Any Employer who deducts or attempts to deduct or otherwise recovers or attempts to recover the whole or any part of the Contribution of the Employer, in respect of any person, from the wages of such person, shall be liable on Summary Conviction to a fine of five thousand dollars.
THE AMENDMENT SUBSTITUTION of the word “seventy five” for the word “six”
(4) Any person who-
(a) For the purpose of obtaining any Benefit or other payment under this Act, whether for himself or some other person, or for any other purpose connected with this Act-
(i) Knowingly makes any false statement or false representation; or produces or furnishes, or causes or knowingly allows to be produced or furnished, any document or information which he knows to be false in a material particular, shall be liable on summary Conviction to a fine of three thousand dollars and to imprisonment for six months.
THE AMENDMENT CHANGES “three” to the word “fifteen”
Section 51
(1) The Minister may make Regulations required by this Act to be made, or for the purpose of modifying or affecting the operation of any provision of this Act, or as the Minister may consider necessary or desirable generally for the better carrying into effect of the provisions of this Act.
(2) Without prejudice to the generality of Subsection (1), the Minister may by such Regulations-
(a) Prescribe any matter which may be or is required to be prescribed under the provisions of this Act;
(b) Require any Employer-
(i) To submit returns of persons employed by him at such intervals and in such manner as may be prescribed;
(ii) To take reasonable steps to investigate the circumstances of every accident or disease of which notice is given to him;
(iii) To give the Board such notices or returns as may be thereby required of any accident or disease whether fatal or not, which has occurred in his place of employment;
(c) Except such categories of Insured Persons as may be specified therein from liability to pay Contributions, for such periods as may be prescribed;
(d) Provide for determining the circumstances in which a person is or is not to be deemed, for the purposes of this Act, to be wholly or partially maintaining another person.
(3) Regulations may provide for the recovery, on Summary Conviction, of monetary penalties, in respect of any offence under this Act being a contravention of or failure to comply with Regulations, so however, that such penalties shall not exceed three thousand dollars for each offence, or where the offence consists of continuing any such contravention or failure after conviction thereof three thousand dollars for each offence, or where the offence consists of continuing any such contravention or failure after conviction thereof, three thousand dollars together with a further three thousand dollars for each day on which it is so continued.
The Principal Act is amended by the substitution for the word “three”, where it occurs for the first and second times, the word “thirty” and for the word “three”, where it occurs for the third time, the word “five”.
SCHEDULE A
Form 1
NATIONAL INSURANCE SCHEME CERTIFICATE OF COMPLIANCE
(EMPLOYERS)
Date of Issue……………..
This is to certify that………of…………………is an employer registered under the National Insurance Scheme with the registration number………. with effect from……………and has paid contributions and fulfilled his obligations under section 55 of the National Insurance and social Security Act. Cap 36:01. In respect of this employees unto……………….
NB: Valid for one month from the date of issue.
General Manager
FORM 2
NATIONAL INSURANCE SCHEME CERTIFICATE OF COMPLIANCE.
(SELF-EMPLOYED PERSONS)
Date of issue………………..
This is to certify that………………….of……….. …………..is a self employed person registered under the National Insurance Scheme with the registration number ………………….with effect from………..and has fulfilled his obligations under section 55 of the National Insurance and Social Security Act, Cap 36:012 in respect of himself unto ……………………..
NB: Valid for one month from the date of issue.
General Manager
