Malaysia legislation
Section 5
Section 5
The principal Act is amended by inserting after section 9 the following section:
“Compulsory contributions of officers to the Tabung 9a. (1) There shall be deducted from the monthly salary of an officer an amount equal to ten per centum of his monthly salary calculated to the nearest five sen as his contribution to the Tabung and the amount of the contribution shall be credited to the account of the officer.
(2)
In respect of every contribution made under subsection (1), there shall be recorded a notional contribution to the Tabung from the Consolidated Fund to the credit of the officer’s account an amount equal to fifteen per centum of his monthly salary, calculated to the nearest five sen.
(3)
An officer who contributes under subsection (1) who has completed less than twenty years of service and has not elected to be paid terminal gratuity shall, upon completion of his service, be paid the following amount:
(a)
the value of his contribution to the Tabung and the dividend for the duration of the contribution;
Tabung Angkatan Tentera (Amendment)
(b)
the value of the contribution from the Consolidated
Fund that has been recorded in accordance with subsection (2); and
(c)
the notional contribution by the Government that ought to be paid to the officer for the duration of the contribution.
(4)
An officer who contributes under subsection (1) who has completed less than twenty years of service and has elected to be paid terminal gratuity shall, upon completion of his service, be paid the value of his contribution to the Tabung and the dividend for the duration of such contribution.
(5)
An officer who qualifies for pension but completes his service in any duration after twenty years until he attains the age of compulsory retirement shall, upon completion of his service be paid the value of his contribution to the Tabung for the whole period of his service and the dividend for the duration of his contribution.
(6)
Payment under subsection (3) shall be made notwithstanding that the officer is granted a disability pension or disability gratuity pursuant to the provisions of any written law for the time being in force relating to pension, gratuity, or other grants or benefits applicable to regular forces.
(7)
Where an officer who contributes under subsection (1)
has completed twenty-five years of service or has attained the age of compulsory retirement, whichever is earlier, the deduction of his monthly salary shall cease and the notional contribution to the Tabung from the Consolidated Fund under subsection (2) shall cease to be recorded.”.
Amendment of section 10