Account # 01~ D.O. FSV~PPB

Account #01 ~ Divisional Officer II ~ FSV~PPB ~ To be Updated 2023

Calculation #1

At compulsory discharge at 23:59hrs on the 31st January 1997 the Bugler had held his D.O. Grade II rank for 3.9 years.

His remuneration should have been as a Divisional Officer Grade II; Third year in the Rank(Top Rate). The Bugler’s Average Pensionable Pay(APP) was taken as 1996 over the ‘last best 3’ preceding year calculations (NJC ‘Greybook’ Condition of Service) which did not include any acting Ranks (none), or any supplementary income (none), whether pensionable or not.

The Bugler’s remuneration consisted of:

• Pensionable Base Pay;

• Pensionable Flexible Duty Supplement (FDS)
@ 20% of base salary per National Joint Council Circular NJC 01/01/1985;

• Pensionable Long Service Bounty after 15 years Service;

• A total of 33.51 years Pensionable Service attracting an enhancement of 7/60th for compulsory discharge under Rule B3; all rounded up to 34.0 years under Rule A7. Translating in pension 60ths to: 7/60ths + 20/60ths + 14 X2 (28/60ths).
A Total of 55/60ths(The formula and the Pension Scheme permits this).

When calculating the Bugler’s Rule B3 ill-health pension all these pensionable elements are clearly identifiable in the scientific mathematical actuarial formula.

The 1996-97 point on the NJC Pay Scale consisted of:

Base Pay: £31,440.00.

+ FDS @ 20%: £6,288.00.

+ Pensionable Long Service Bounty: £783.00.

The Total Pension pay including immediate Index Link was £38,511.00.

Late Payment of Commercial Debt (Interest Rate) Act 1998. Go Here.

Current Base Rate revised ever 6 months +(plus) 8% compound Interest.

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FIRST ERROR

The Total Pension pay including immediate Index Link was £38,511.00.

The LCFAuthority miscalculated (underpaying) this Rule B3 Pension to the value of £35,031.00.
N.B.How many years has the base salary been underpaid & to what value?

Annual Deficit: £3,480.00.

Statutory Compound Interest @ 8% for 24 years: £19,385.44.

Principal X 24 years: £83,520.00.

Total: £102,905.44.

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SECOND ERROR

In 1997 the Pension Provider(LCC) failed under Rule B3 to Index Link immediately.

Loss accrued for 2 Indexed Years.

1997 ~ £38,511.00., @ 3.6% £1,398.87 = £39,909.87.

1998 ~ £39,909.87., @ 2.8% £1,125.30 = £41,035.17.

Underpayment because of failure to Index Link the Pension for 2 years £2,524.17.

Statutory Compound Interest @8% for 2 years £428.75.

The Principal for 2 years £5,048.34.

Total Underpayment for 2 years + interest £5,477.09.

R/Total: £108,382.53.

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THIRD ERROR

After the 1998 Index Link correction the Pension to be paid for the remaining 22 years was £41,035.17.

The LCFAuthority paid an unlawful Rule B1 pension £23,354.24.
N.B. By paying an unlawful Rule B1 Ordinary Pension, instead of a Rule B3 ill-health Pension, all the other emoluments calculated from this Rule B1 Ordinary pension, e.g, B4 Pension; Gratuities; Commutation etc, are also wrong.

Annual Deficit for 22 years (Index Link gain excluded) £17,652.73.

Statutory Compound Interest @ 8% for 22 years £99,146.82.

The Principal for 22 years: £388,360.06.

Total Deficit £487,506.88.

R/Total Deficit: £595,889.41.

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FOURTH ERROR

SERPS incorrect early deduction 1997-2008 @ £27.20 PA + 8% interest + principal. £734.34.

Total Deficit: £734.34.

Running Total Deficit: £596,960.21.

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Total Deficit and owed £596,960.21.

+ Plus Costs £XXXXX.XX.?

+ Lost sales of SS(9th Ed) due to Symbol Seeker Publishing Company £XXXXX.XX.?

Calculation #2

The following Compensation Calculation is based on… “what you would have earned“…but based on the assumption that disabled FSV~PPB remained in the same Rank until the completion of his 40 years Service:

7 X 38511 + 38511 X 20 + 2 X 38511 X 20 = £43,003.95 pa (excluding Index Link).

60 60 60

The correct Rule B3 pension payment to be put in payment on 1st March 1997 was £45,003.95.

The actual Rule B1 pension amount paid was £23,445.25.

Annual Deficit was: £19,558.70.

Statutory Compound Interest 8%pa: £90,293.03.

The Principal for 24 years: £469,408.80.

Total Over Due: £559,701.83.

+ Plus Costs £XXXXX.XX.?

+ Lost sales of SS(9th Ed) due to Symbol Seeker Publishing Company £XXXXX.XX.?

Calculation #3

The following Compensation Calculation is based on… “what you would have earned“…including the probability that disabled FSV~PPB would have received futher advancement in Rank in the 7 years to follow until the completion of his 40 years Service.
The notional Rank is Assistant Chief Fire Officer(ACO~Gold Book 1997) £67,850.06 @75% CFO:

7 X 67850.06 + 67850.06 X 20 + 2 X 67850.06 X 20 = £75,765.90 (67/60ths).

60 60 60

The correct nominal payment which should have been put into payment on 1st March 1997 was: £75,765.90.

The actual amount paid was: £23,445.25.

Annual Deficit was: £52,320.65.

Statutory Compound Interest 8%pa: £291,453.66.

The Principal for 24 years: £1,255,695.60.

Total Over Due: £1,547,149.26.

+ Plus Costs £XXXXX.XX.?

+ Lost sales of SS(9th Ed) to Symbol Seeker Publishing Company £XXXXX.XX.?

N.B.
This debt was knowingly accrued by a Public Authority, the LCFAuthority, over a period of almost a quarter of a century.