Royal Canadian Mounted Police Superannuation Regulations

9 (1) Where a contributor has elected to pay in instalments for any period of service for which he has elected to pay into the Superannuation Account for life, or for a period of years not greater than life, such payments shall be made in the following manner:

• (a) the first instalment shall be due and payable on the first day of the month next following the month of election and succeeding instalments monthly thereafter during the term selected by the contributor, computed in accordance with Canadian Life Table No. 2 (1941), Males or Females, as the case may be, with interest at the rate of four per cent per annum; and

• (b) the contributor may from time to time amend his payment plan to provide for payment of the instalments still to be paid in a lump sum or by larger monthly instalments on a basis similar to that described in paragraph (a), calculated as of the date of the amendment.

(2) Where a contributor has opted, pursuant to subsection 8(5) of the Act, to pay an amount in instalments for a duration of less than for life, and financial hardship unforeseen by the contributor at the date of the option would be caused by the requirement to continue to pay such instalments, on application to the Minister by the contributor, the contributor may pay the amount owing in instalments over a period not exceeding three times the period over which the instalments would be paid under subsection 8(5) of the Act or 15 years, whichever is the lesser, commencing as of the first day of the month following the month in which the application is received.

(3) Where a contributor defaults in respect of any instalment payable by him, the Minister shall forthwith demand payment from the contributor of the amount in default (except that where a contributor is on leave of absence without pay the Minister shall not make such a demand until he ceases so to be on leave of absence) and thereupon the amount in default, with interest as provided in subsection (7) to the date of demand, shall be payable

• (a) in a lump sum immediately, or

• (b) in monthly instalments for the lesser of

  • (i) the life of the contributor, or

  • (ii) the remainder of the period during which instalments under subsection (1) are to be paid,

as the contributor elects, the value of which, calculated as of the date of election of the contributor under this subsection, in accordance with Canadian Life Table No. 2 (1941) Males or Females, as the case may be, with interest at the rate of four per cent per annum, is the amount that is in default with interest to the date of demand; and if the contributor does not elect within 30 days from the date of the demand, he shall be deemed to have chosen the method of payment specified in paragraph (b).

(4) A contributor to whom subsection (3) applies, in lieu of making an election under that subsection, may, before the expiration of the 30-day period mentioned therein, elect, subject to the approval of the Minister, to pay the instalments in default, with interest (notwithstanding subsection (7)) at the rate of four per cent per annum from the due date of each defaulted instalment until payment thereof, over a period equal to the period that the contributor is in default, such period to commence

• (a) 30 days after the end of the period during which the contributor is paying the contributions mentioned in subsection (1) that were not in default, or

• (b) on the last day of the month in which the contributor makes an election under this subsection,

whichever is the later; and if the contributor dies before all of the said instalments, together with interest as provided in this section, are paid, the unpaid instalments, together with interest as provided in this section, may be recovered in the manner described in subsection (6).

(5) Where a contributor ceases to be a member of the Force and becomes entitled to any benefit under the Act before the amount payable by him under this section is paid, recovery may be made at any time by retention by way of deduction or set-off out of the benefit payable to the contributor

• (a) in a lump sum immediately, or

• (b) in monthly instalments for the lesser of

  • (i) the life of the contributor, or

  • (ii) the remainder of the period during which instalments under subsection (1) are to be paid,

as the contributor elects, the value of which, calculated as of the date of election of the contributor under this subsection in accordance with Canadian Life Table No. 2 (1941), Males or Females, as the case may be, is the amount payable by him under this section with interest at the rate of four per cent per annum.

(6) Where an amount payable by a contributor under the Act is unpaid at the time of death of the contributor, that amount may be recovered from any allowance payable under the Act to the surviving spouse or children of the contributor, at the option of the recipient,

• (a) by reservation of a lump sum immediately on the allowance becoming payable; or

• (b) by reservation from the monthly instalment of the allowance of an amount equal to the amount of any instalment payable by the contributor under this section prior to the death of the contributor or 30 per cent of the gross amount of the monthly instalment, whichever is the lesser.

(6.1) Notwithstanding subsection (6), where payment pursuant to that subsection would cause financial hardship to the recipient, the recipient may choose to pay the amount payable by reservation from the monthly instalment of the allowance of an amount not less than 15 per cent of the gross monthly allowance.

(7) Where an amount that is payable by a contributor or a recipient is paid after the day on which it is due, there shall, in addition, be payable interest on that amount at the rate of four per cent per annum from the due date until the day on which it is paid or demand is made in accordance with this section for payment of the amount due, whichever first occurs.

(8) Notwithstanding anything in this section,

• (a) where the contributor or his personal representative or the recipient pays in full an amount that is due under this section before the expiration of 30 days from the due date, interest is not payable thereon;

• (b) where, after a demand is made by the Minister under this section for payment of an amount including interest, that amount is paid in full before the expiration of 30 days from the date of demand, interest is not payable under subsection (7) with respect thereto; and

• (c) where a contributor has authorized or directed that the amount payable by him under this section be deducted from moneys payable to him by or on behalf of Her Majesty and the contributor is in default because those deductions have not been made, interest is not payable under subsections (4) and (7) on an amount equal to the deductions that have not been so made.

(9) For the purposes of this section, a demand by or on behalf of the Minister for payment of an amount is deemed to have been made on the day on which a letter, demanding payment, signed by or on behalf of the Minister and addressed to the contributor or recipient, as the case may be, is placed in the mail.

(10) Nothing in this section prohibits a person from paying at any time before it is due any amount payable by him, or that is deductible from any benefit payable to him, under this section.