National Pension Scheme & Aggregator Registration Under PFRDA

8/12/2019 National Pension Scheme & Aggregator Registration Under PFRDA

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EquiCorp Associates

Advocates & Solicitors

National Pension System- Aggregator Registration

www.equicorplegal.com


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National Pension System

National Pension System (NPS), an

initiative of the sector regulator i.e.,

Pension Fund Regulatory and

Development Authority(PFRDA).

NPS is an easily accessible, low cost,

- ,retirement savings account. Under the

NPS, the individual contributes to his

retirement account and also his employer

can co-contribute for the social

security/welfare of the individual. NPS is

designed on a defined contribution basis

wherein the subscriber contributes to his

account, there is no defined benefit that

would be available at the time of exit

from the system and the accumulated

wealth depends on the contributions

made and the income generated from

investment of such wealth.


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NPS Lite

NPS Lite is a model of NPS which is

low-cost, feature optimized model,

aimed at economically disadvantaged

sections of the society. The NPS Lite

model has been developed by PFRDA

to prov e a un orm p at orm or o

age income security to all sections of

society and facilitate economically

weaker sections of the society to join

the NPS platform. NPS Lite is intended

to reach its target population through

specific entities identified by PFRDA,

termed as Aggregators, explained in

further detail below.


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Eligibility Criteria to be an

Aggregator Entity to be registered (under act of central or state government) and/or

adequately regulated by any of the financial sector regulator(s);

Registered entity must be must have been registered under any of the

-i. Societies Registration Act 1860 ( or a State amendment of this Act)

ii. Indian Trusts Act, 1862

iii. Charitable and Religious Trusts Act, 1920

iv. Indian Companies Act, 1956 ( section 25, for non profit companies)

v. Indian Companies Act 1956 with necessary certification from RBI (forNBFCs)

vi. Indian Companies Act 1956, for any other company


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Aggregators- Role &

Responsibilities Promotion of NPS and awareness about the need for old age income security

among its constituent group members;

Meeting the Know Your Customer requirements in respect of potential NPS

subscribers as mandated under AML/CFT requirements. KYC requirements in

case of NPS Lite subscribers shall be overned b rovisions of RBI MasterCircular no RBI/2008-09/72 dated July 01, 2008 and as amended from time to

time till separate orders on this aspect are issued by PFRDA;

Discharge of responsibilities relating to fund and data upload within prescribed

time limits;

Collection of contributions from subscribers and ensuring its passage to Trustee

Bank.

Ensuring availability of services including distribution of Annual Statement of

Transactions and showing online statements to its underlying subscribers as

mandated under NPS-Lite;

Handling grievances received from subscribers and their resolution


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Aggregator Registration

The NPS Lite model has a three tier architecture as per which each

Aggregator has to register one of its offices as oversight office (NL-

OO)in NPS Lite to monitor and control the operations being performed

by its underlying offices. Aggregator is also expected to designate

o ce s as co ect on centers - or per orm ng t e unct ons o

collection and processing of contributions of underlying subscribers. The

broad roles of designated offices of the Aggregator and the sequence of

registration of these offices are as under:

a. Registration of NL-OO - NL-OO is expected to undertake monitoring & controlling

functioning of its underlying offices (NL-AOs i.e., uploading office and NL-CCs) towards

discharging services as per the service standards defined by PFRDA. NL-OO is required tofill up the registration form (N1 form) and submit the same to Central Recordkeeping

Agency (CRA). The NL-OO is required to self-authorize the form before submission of

the same to CRA (NSDL, Mumbai);


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Aggregator Registration contd.

b. Registration of NL-AO - Upon successful registration of the NL-OO, registration of NL-

AO shall commence. The NL-AO is expected to undertake contribution upload on CRA

Lite system and fund transfer to Trustee Bank for its underlying subscribers. NL-AO is

required to fill up the registration form (N2 form) and submit the same to NL-OO for

authorization. U on authorization NL-OO shall send the form to CRA for re istration.c. Registration of NL-CC NL-CCs or collection centers are expected to interface with

subscribers and perform key functions relating to collection of registration forms,

undertaking KYC, contribution collection and passing the contribution information and

funds to NL-AO for further processing. Registration of NL-CCs will be undertaken upon

completion of registration of NL-AO in NPS Lite. The NL-CCs registration form (N3

form) shall be authorized and forwarded by the respecting NL-AOs to which they are

linked.


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NPS Architecture


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Consult the Experts

Complete assistance for making the necessary filings,

applications etc. for obtaining PFRDA approval.

Informal discussion with contact personnel within

PFRDA so as to perfect the application before thesame is submitted.

Follow up support at various points in time during

and after the pendency of the application so as to

ensure that any additional documents/records

requested by the PFRDA is submitted in a systematic

and timely manner.

Updating Company on a regular basis as to the

status of the pending application.


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About Us

Equi Corp Associates (ECA) is a mission driven, start-up law practice based in New

Delhi, India and founded in 2012 for providing affordable access to legal counsel

benefitting start-ups, small and growing businesses, social business enterprises, impact

investors and non-profit organizations. Our boutique service offerings are primarily at the

intersection of start-up, sustainable development, social enterprise and investment

sectors, designed to help clients wade through laws that were not originally designed

with them in mind.

The basic idea behind starting ECA was to be a part of Indias growth by reaching out to

novel start-ups and established businesses, and helps them adapt best global

practices/technologies in local conditions and in advising them about legal aspects

involved in modern markets in order to keep our clients in pace with the dynamic

competitive environment.

ECA is instrumental in advising various social enterprises and start ups in setting up

their business in India.

ECA not only having some of the best legal minds, but the best business minds too:

lawyers are intimately familiar with the business environment, and know the emerging

risks and opportunities of their industries and practice groups.


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ECAs Network Presence

Delhi/NCR

Dehradun

Jaipur Allahabad Guwahati

Mumbai

Bangalore

Our Associated

Office

Kolkata

Hyderabad

Chennai

ECA


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WHY Equi Corp Associates??

ECA is a multispecialty law firm, with its founding partners having a vastexperience for providing legal services to a variety of domestic & internationalclients, corporations, financial entities & government agencies.

Our respected clients - from individuals to small businesses to Fortune 500companies -- turn to us for trusted legal counsel.

ECA is equipped with required professional setup of Qualified, Experienced and

now e gea e mem ers. We advise and assist NRIs/PIOs, Foreign Investors and Indian entrepreneurs

with legal services that enables them to compete with best in world in themodern economy characterised by technology based, venture capital funded,futuristic businesses governed by complex and ever evolving legal andstatutory framework.

ECA is also effective in providing match making partner/locating strategicalliance, follow up and representation with Government of India or any other

incidental work related to investment or legal guidance in India.


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The Verticals

Corporate & Commercial

Banking & Finance

Real Estate

Infrastructure & Project Finance

Employment & Labour

Media, Sports & Entertainment

Litigation & Arbitration

Tax & Consulting

Intellectual Property

The Firm specializes in verticals such

as IT, ITES, Bio-tech, Power, Water,

Retail Trade, Education, Mining,

Aviation, Tourism, Insurance,

Telecom, Media & Entertainment


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Our Commitment

Value

One stop legal boutique where assignments carried out at a fraction of

the cost of clients staff

Reduce client staff management time and overhead costs, and increase

clients profitability

Enable clients staff to concentrate on more interesting and value-added

Service

Robust management and procedures to ensure delivery on time and on

budget

Dedicated one-to-one communication with client, to ensure every

project is right first time

Full service delivery is achieved by synergies of subject matter

expertise of our in-house Lawyers, Chartered Accountants, CompanySecretaries and Tax Consultants

Quality

Two-level file review and signoff by expert Lawyers, even for the

smallest assignment


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Our Core Strengths

Dedicated team of legal professionals with strong deal exposure andknowledge of regulations of various sectors.

Proactive and structured approach

Well defined rocesses

Well defined Project methodology tailored to suit the needs of clients forservice delivery

Talented team with experience of working with some of the largestcompanies in India exposure to leading cross border transactions in India

Experience & proven capabilities to handle Diversified Multi-national Clientsi.e. Information Technology, Energy, Manufacturing, Consultancy, Oil & GasSector, Retail Trading, Hospitality, Restaurant and related sectors.

Competitive advantage of costing by virtue of expertise and experiencedresources.


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For further information

Contact :

Aashish Srivastava

Partner

Equi Corp Associates

Advocates & Solicitors

W-86, Classic House, GK-II, New DelhiT: +91 11 40573261

Mobile : +919958709189

E-mail :[email protected]

W: www.equicorplegal.com

Documents

National Pension Scheme & Aggregator Registration Under PFRDA