The Employees Provident Fund (EPF) today clarified that it had taken legal action, which includes both prosecution and civil suit, against Perwaja Steel (Kemaman) Sdn Bhd (PSSB), and personally against the company directors, for defaulting on their monthly EPF contributions amounting to RM9.17 million for the period between August 2013 and September 2014.
In a statement today, EPF Deputy Chief Executive Officer for Operations Dato’ Mohd Naim Daruwish said, “The EPF has completed the investigations on PSSB Kemaman and there are civil suits pending against the company and its directors at the Kuala Terengganu High Court to recover the outstanding arrears of contributions.
“We have also duly notified the company directors on the overdue contributions owed by the company to initiate recovery action and compel payment, which includes restricting them from leaving the country pursuant to Section 39 of the EPF Act 1991.”
Under the EPF Act 1991, all employers are required to submit their monthly statutory contributions on behalf of their employees on or before every 15th of the following month. Once the full amount has been received, the EPF will credit all outstanding contributions to the respective members’ accounts.
“We continue to be firm and will take stern action against errant employers as EPF savings is the main source of retirement income for their employees,” Dato’ Mohd Naim stated.