Source Pensions replaced as trustee by the courts
THE Pensions Authority has obtained a High Court order allowing it to replace a company managing some 180 pension schemes, involving €80m, following concerns about the firm's finances.
Trustee Principles Ltd will take over the schemes from Source Pensions Administration and Trustee Company for a year, the court heard.
Source Pensions is also not to act as a trustee for another five years unless it makes an application to the court.
Mr Justice David Keane granted the order and there was no objection from counsel for Source Pensions.
Initially it was thought there were 900 members involved in the 180, but there were in fact 1,681 involved.
The court also continued orders made previously preventing Source Pensions, Dublin, from disposing of any resources in the schemes.
A probe started by the authority is ongoing after concerns raised by whistle blowers.
They related to the financial position of the firm, and the extent of its compliance with its pension obligations towards its own employees.
The authority had particular concern about a loan of nearly €500,000 from client pension monies to the company.
Source Pensions director Adrian Daly confirmed the loan had been taken out but he maintained it was not improper. The authority did not share that view.
The court heard an investigating accountant identified 14 transactions involving the transfer of monies for the alleged company loan.