Engineering Industries Pension Fund and Another v Pioneer Mechanical CC and Another (13568/2020)
Engineering Industries Pension Fund and Another v Pioneer Mechanical CC and Another (13568/2020) [2022] ZAWCHC 215 (3 June 2022)
The court held that section 13A(8) of the Pension Funds Act unambiguously imposes personal liability on members of a close corporation who control or are regularly involved in its financial affairs for outstanding pension fund contributions. The second respondent, as sole member and controller of the first respondent, admitted the outstanding amount and was found to be personally liable. The statutory provisions override the general protection of the corporate veil in this context, as the Legislature specifically intended to ensure accountability for pension fund contributions. The applicants…
Source excerpt
- Pension Funds Act Section 13a
- Personal Liability Of Corporation Members
- Piercing Corporate Veil
- Liquidation Procedure
- Outstanding Contributions