MNB appoints oversight commissioner at pension fund
The National Bank of Hungary (MNB) said today (Friday) that it has appointed an oversight commissioner at pension fund Első Országos Iparszövetségi Nyugdíjpénztár due to an emergency threatening its operations, Hungarian news agency MTI reports.
The temporary measure will remain in place until the central bankʼs audit is completed or for a maximum of four months.
The commissionerʼs duties are performed by Pénzügyi Stabilitási és Felszámoló Kft, which will take over the powers and duties of the board of directors.
The MNB has revealed that the institutionʼs management and audit controls are inadequate and certain basic material and personnel conditions of operations are insufficient. The central bank also found major shortcomings affecting customer service and identified significant IT security risks.
The measures do not affect the pension fundʼs obligations to its members. The fundʼs members account for just 0.004% of the total voluntary pension fund sector, so it does not affect the market as a whole, MNB added.
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