Section 28 — Pensions Act 2004: Effect of winding up order on freezing order

Effect of winding up order on freezing order 28 1 This section applies where—

a an order is made under section 11 of the Pensions Act 1995 (“ the 1995 Act ”) (power to wind up occupational pension schemes) in relation to a scheme, and b the order is made during the period for which a freezing order has effect in relation to the scheme.

2 In such a case—

a the winding up of the scheme in pursuance of the order under section 11 of the 1995 Act is to be taken as beginning at the time when the freezing order took effect, and b the freezing order ceases to have effect from the time when the order under section 11 of the 1995 Act is made.

3 The Regulator may by order direct any specified person—

a to take such specified steps as it considers are necessary as a result of the winding up of the scheme being deemed under subsection (2)(a) to have begun at the time when the freezing order took effect, and b to take those steps within a specified period.

4 If the trustees or managers of a scheme fail to comply with a direction to them contained in an order under this section, section 10 of the 1995 Act (civil penalties) applies to any trustee or manager who has failed to take all reasonable steps to secure compliance.

5 That section also applies to any other person who, without reasonable excuse, fails to comply with a direction to him contained in an order under this section.

6 In this section “ specified ” means specified in an order under this section.