Commonwealth Numbered Acts

DEFENCE FORCE (RETIREMENT AND DEATH BENEFITS AMENDMENTS) ACT (NO. 2) 1979 No. 135 of 1979 - SECT 9

9. After section 32 of the Principal Act the following section is inserted:
Commutation of Class C invalidity pay
''32A. (1) This section applies to a member of the scheme who-

   (a)  is retired after the commencement of this section; and

   (b)  on his retirement, is classified as Class C under section 30 and is
        entitled to invalidity pay.

''(2) A member of the scheme to whom this section applies may, by notice in
writing given to the Authority, within a period of one year after becoming
entitled to invalidity pay, or within such further period as the Authority, in
special circumstances, allows, elect to commute a portion of his invalidity
pay in accordance with this section.

''(3) An election under sub-section (2) by a member of the scheme to whom this
section applies shall specify the amount that is to be payable to him by
virtue of the commutation.

''(4) The amount specified in an election under sub-section (2) by a member of
the scheme to whom this section applies shall not be an amount that, together
with-

   (a)  any amount or amounts specified in any previous election or elections
        by the member, under this section or section 24 of this Act, to
        commute a portion or portions of his invalidity pay or retirement pay,
        as the case may be, reduced by any amount or amounts required under
        paragraph 62 (4) (a) of this Act, to be paid by the member to the
        Commonwealth in respect of that commutation or those commutations; and

   (b)  any amount paid to the member in pursuance of an application, under
        section 74 of the previous Act, to commute a portion of any pension
        payable to him under that Act reduced by-

        (i)    any amount or amounts required, under paragraph 62 (4) (a) of
               this Act, to be paid by the member to the Commonwealth; and

        (ii)   any amount or amounts required, under sub-section 69 (1B) or 69
               (3A) of the previous Act, to be paid by the member to the
               Defence Forces Retirement Benefits Fund established under the
               previous Act,

in respect of that commutation, exceeds 4 times the amount per annum of the
invalidity pay to which the member of the scheme was entitled on retirement.

''(5) Where a member of the scheme to whom this section applies makes an
election under this section-

   (a)  there shall be paid to him by the Commonwealth an amount equal to the
        amount specified in the election as the amount that is to be payable
        to him by virtue of the commutation; and

   (b)  the amount per annum of the invalidity pay payable to him, on and
        after the day on which the election takes effect, is the amount per
        annum that, but for this paragraph, would be payable reduced by an
        amount calculated by dividing the amount referred to in paragraph (a)
        by the expectation of life factor that, having regard to the age and
        sex of the person on the day on which the election takes effect, is
        applicable to him under Schedule 3.

''(6) For the purposes of this section, an election shall be deemed to have
been made, and shall take effect, on the day on which the notice of election
is received by the Authority.''.