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www.dpf.co.bw

NBFIRA Approval date: 27th November 2014

RULES OF THE DEBSWANA PENSION FUND

Certified that these are the Rules of Debswana Pension Fund were amended and approved by the Board of Trustees on the 28th November 2013

1. General 42. Definitions 43. Membership 114. Contributions 115. RetirementBenefits 146. DeathBenefitsActive&DeferredMembers 187. TerminationOfService 208. Overpayments/UnderpaymentsOfClaims 209. Transfers 2110. TerminationOfTheFund 2111. ManagementOfTheFund 2312. FinancialProvisions 3313. AdministrationOfTheFund 3914. AmendmentOfRules 4015. InterpretationOfRules 4016. Miscellaneous/GeneralProvisions 41

Page

TABLE OF CONTENTS

DPF • Rule book 4

1. GENERAL

1.1 Details of the Fund

1.1.1

1.1.2 TheRegisteredOfficeoftheFundisPlot50361,BlockD,CarltonHouse, Fairgrounds,Gaborone,Botswana.

1.2 Purpose

1.2.1

1.2.2

1.3 Binding Nature of the Rules

TheseRulesbindtheFund,theTrustees,theMembers,Dependents,Beneficiaries andtheEmployers.

2. DEFINITIONS WhereemployedintheseRules,andsubjecttoapplicablelaw,thefollowingwords andexpressionsbearthemeaningshereassignedtothemand: • unlessinconsistentwiththecontext,allwordsandexpressionsimportingthe masculinegendershallincludethefeminine; • wordssignifyingthesingularnumbershallincludethepluralandviceversa; • anyreferencetolegislationmeanssuchlegislationasamendedorsubstituted fromtimetotime; • ifawordorphraseisdefinedintheAct,thenitissimilarlydefinedintheRules unlesstheRulesprovideadifferentdefinition:

The Fund known as theDebswanaPension Fundwas established as attheEstablishmentDate01October1984.TheFundisregisteredintermsoftheActandiscapableinlawofsuingandbeingsuedandofacquiring,holding,encumbering,mortgagingandalienatingpropertymovableandim-movableinitsownname.

ThemainpurposeandobjectoftheFundistoprovideforthepaymentofpensionstopersons,whoareorhavebeenActiveMembersorDeferredMembers,onretirement.

AsecondaryobjectoftheFundistoprovidebenefitstoeligibleDepen-dentsandBeneficiariesofdeceasedActiveMembers,DeferredMembersorPensioners,asthecasemaybe.

DPF • Rule book 5

“Account”

“Act”

“Active Member”

“Actuary”

“Additional Contribution”

“Alternate Trustee”

“Auditor”

“Beneficiary”

“Chairman”

“Child”

meanstheMemberAccount,thePensionerAccount,theData ReserveAccount, the Processing Error ReserveAccount, the Expense ReserveAccount, the SolvencyReserveAccount or theUnclaimed BenefitsAccount,accordingtothecontext.

means thePension andProvident FundsAct, 1987, asamended, the regulations and any other subordinatelegislationthereto.

meansanEligibleEmployeewhohasbeenacceptedasaMember,foraslongasheremainsanEligibleEmployee.

meansthatpersonappointedbytheTrusteesintermsofRule11.9.1,whomustbeafellowoftheInstituteofActuaries in Englandor of the Faculty ofActuaries inScotlandorsuchotherpersonhavingactuarialknowl-edgeastheRegistrarmayapprove.

meansapaymentbyanActiveMember,oraDeferredMember, to the Fund, whichmust be credited to hisMemberAccount.

means a person appointed as such in terms of Rule11.4.2,11.5.3or11.7;

meansanauditorasreferredtoinsection14oftheAct.

meansanypersonwhoisentitledtoabenefitintermsoftheRulesasaresultofthedeathofaMember.

means theChairmanof theTrusteesappointedas re-ferredtoinRule11.8.1.

DPF • Rule book 6

“Code of Conduct”

‘’Constituencies’’

“Consultants”

“Contribution”

‘’Custodian’’

“Data Reserve Account” meanstheAccountreferredtoinRule12.5.3.

‘’Deferred Member’’ meansapersonwho: • wasanActiveMember; • hasnotreachedRetirementAge.

“Dependant” inrelationtoaMember,means- a) anypersoninrespectofwhomtheMemberis legallyliableformaintenance; b) apersoninrespectofwhomtheMemberisnot legallyliableformaintenance,butsuchaperson: i. was,intheopinionoftheTrustees,uponthe deathoftheMemberinfactdependenton theMemberformaintenance; ii. istheSpouseoftheMember;or iii. istheChildoftheMember, c) isapersoninrespectofwhomtheMember

DeferredMemberbecameaPensioner.

meansthecodeofconductapprovedbytheTrusteesintermsofRule11.1.5.

means any amount paid to the Fund by a deferredmember and or by an Employer in respect of or onbehalfofanActiveMember.

meansanentitywhichholdsthepropertyoranyassetoftheFundonbehalfoftheFund,andwhichCustodianis approvedby theRegulatoryAuthority to carryoutthisfunction.

means the professionals appointedby theTrustees toprovideexpertadvicetotheFund.

means the Fund’s geographical constituencies deter-minedbytheTrustees fromtimetotime intermsofRule11.5.4.ItisrecordedthatasattheRevision DatetheConstituenciesareknownasMorupuleCoalMine,Orapa& LetlhakaneMines, JwanengMine, andGabo-ronecampus.

DPF • Rule book 7

“Early Retirement Age”

“Eligible Employee”

i. isremuneratedbymeansoffeesorallowance; ii. isemployedundercontractwhichexpressly providesforthepaymentofalumpsumupon expirythereof; iii. intermsofhisemploymentcontractisexempt frombeingrequiredtobeaMember; iv. hasattainedhisNormalRetirementDate,unless hisEmployerhasnotifiedtheFundthatthisdoes notapply.

“Employer”

• AngloCoal • DebswanaDiamondCompany • DeBeersBotswana • TheFund(inrespectofitsemployees) • DiamondTradingCompanyBotswana • DeBeersGlobalSightholderSales • MorupuleCoalMine • PeoHoldings

“Employer Trustee” meansaTrusteeappointedassuchintermsofRule 11.4.

“Establishment Date” means1stOctober1984.

meansanyagefrom50to59yearsasnotifiedbythetotheFund.

meansapersoninthepermanentemploymentofanEmployer,whetherparttimeorfulltime,andincludesapersonemployedintermsofafixedtermcontractwhichismorethanone(1)year,butexcludinganem-ployeewho:

meansanemployerparticipatingintheFundfromtimeotime,andinrelationtoanActiveMembermeanshisEmployer.ItisrecordedthatattheRevisionDatetheEmployersare:

wouldhavebecomelegallyliableformaintenancehadtheMembernotdied.ProvidedthatforthepurposesofRule5,theDependantwassuchatthe time that theActiveMember orDeferredMemberbecameaPensioner.

DPF • Rule book 8

“Expense Reserve Account” meanstheAccountreferredtoinRule12.5.5.

“Financial Year”

“Fund” meansthisfund,DEBSWANAPENSIONFUND.

“Fund Credit”

‘’Gaborone Campus’’

“Income Tax Act”

“Independent Trustee” meansapersonwho: • isnotintheemploymentofanEmployerorany entitythatprovidesservicestotheFund; • doesnothimselfprovideservicestotheFund oranEmployer; • doesnothaveaspouse,childorsiblingwho wouldbeprecludedfromactingasan IndependentTrusteeontheabovegrounds; • hasexpertiseandexperienceinactingina fiduciarycapacity,andunderstandshis responsibilitiesasaTrustee.

“Insurer” meansalong-terminsurerregisteredintermsofthe InsuranceIndustryAct.

“Investment Return”

meansaperiodof twelve (12)monthscommencingon1stJanuaryandendingon31stDecemberofeachyear or suchother twelvemonth period asmay beagreedbytheTrusteeswiththeapprovaloftheRegu-latoryAuthority.

meanstheamounttothecreditoftheMemberAc-countinrespectofanActiveMemberoraDeferredMembery.

meansalltheEmployerswhoseprincipalplaceofbusi-nessislocatedinGaborone.

meanstheIncomeTaxActCap52:01andanysubordi-natelegislationthereto.

meansany income(receivedoraccrued)andcapitalgainsandlosses(realizedorunrealized)attributabletotheassetsoftheFund,netofexpensesandtaxchargedassociatedwiththeacquisition,holdingordisposalofthoseassets;providedthatwheresuchincome,capitalgainsandlossescanbeattributedtotheassetsbacking

DPF • Rule book 9

“Late Retirement Date”

“Married”

“Member”

“Member Account”

“Member Trustee”

“Nominee”

“Normal Retirement Date” means,inrespectof: • anActiveMember,thelastdateofthemonthin whichanActiveMemberattains60yearsofage; • aDeferredMember,thedatewhichisnotified byhimtotheFundinwriting(andwhichhe

the amount to the credit of anyAccount then suchInvestmentReturnmustbeattributedtothatAccount.Where such income, capital gains and losses cannotbeattributedtotheassetsbackingtheamounttothecreditof anAccount then such income, capital gainsand lossesmust be allocated amongst theAccountsonsuchbasisastheTrusteesconsiderequitableaftertakingaccountoftheadviceoftheActuary.

means the actual date of retirement of an ActiveMember fromtheemploymentofanEmployerafterhisNormalRetirementDate,providedtheEmployerhasnotifiedtheFundpriortotheNormalRetirementDate that he remains an Eligible Employee after hisNormalRetirementDate,andthattheactualdateofretirementisnotifiedtotheFundbytheEmployerorActiveMemberpriortotheactualdateofretirement.

meansanActiveMemberoraDeferredMember inrespectofwhomthereisaFundCredit,oraPensioner.

meansinastateoflawfulmarriagerecognisedunderthelawofBotswanaincludingacustomaryunion.

meansaTrusteeappointedas such in termsofRule11.5.

means theAccount reflecting theFundCreditof anActiveMemberoraDeferredMember,asreferredtoinRule12.5.1.

means anypersonnominatedby anActiveMemberorDeferredMember to receive a benefit from theFundonthedeathofthatActiveMemberorDeferredMember.

DPF • Rule book 10

“Pensioner”

“Pensioner Account” meanstheAccountreferredtoinRule12.5.2.

“Pensioner Trustee”

“Pensionable Earnings”

“PrincipalOfficer”

“Processing Error meanstheAccountreferredtoinRule12.5.4. Reserve Account”

“Regulations”

mayalterbynoticetotheFund)andwhichmaybefromage51onwards,providedthatifnoageisnotifiedtotheFundthentheNormalRetirementDateisdeemedtobethelastdayofthemonthinwhichheattains60years.

meansapersoninreceiptofamonthlypensionfromhe Fund, whowas previously anActiveMember, orwho is entitled to such a pension as a result of thedeathof apersonwhowas anActiveMember,De-ferredMemberorPensioner.

meansthepersonreferredtoinsection13oftheActwhoisappointedasthePrincipalOfficeroftheFund,andwhoincludesanyactingPrincipalOfficer.

meansRegulationsundertheIncomeTaxAct,PensionandProvident FundsAct,Non-Bank Financial Institu-tionsRegulatoryAuthorityActandanyotherregula-tionspromulgatedfromtimetotime.

meanstheannualpensionableremunerationofanAc-tiveMemberasnotifiedbyhisEmployertotheFundwhen he becomes anActive Member, and as suchannualpensionable remuneration is increasedorde-creasedas thecasemaybe. It is recorded that thedeterminationofwhatconstitutesannualpensionableremuneration(forexample,includingorexcludingholi-dayallowance,bonuses,carallowance,etc)isasagreedbetween an Employer and theActive Member, andmay vary as amongst theActiveMembers of otherEmployers.

meansaTrusteeappointedas such in termsofRule11.7.

DPF • Rule book 11

“Regulatory Authority”

“Revision Date”

“Rules”

“Secretariat”

“Solvency Reserve meanstheAccountreferredtoinRule12.5.4. Account”

“Spouse”

“Superannuation Fund”

“Trustees”

“UnclaimedBenefits meanstheAccountreferredtoinRule12.5.7 Account”

3. MEMBERSHIP

EveryEligibleEmployeemustbecomeanActiveMember,andtothatendsuchdetailsastheFundmay require fromtime to timeofeachpersonwhenhebecomesanEligibleEmployeemustbefurnishedinwritingbyhisEmployertotheFund.

4. CONTRIBUTIONS

4.1 Contributions by each Employer

meanstheNon-BankFinancialInstitutionsRegulatoryAuthority appointed in terms of Sec 6 of theNon-BankFinancialInstitutionsRegulatoryAuthorityAct,2006asamendedfromtimetotime.

meansthoseemployeesoftheFundwhoassistintheadministration of the Fund and who report to thePrincipalOfficer.

meansapersonwhoisMarriedtoaMemberwhoisorwasanEligibleEmployee;providedthatforthepur-posesofRule5,aSpousewasMarriedtotheMemberwhenhebecameaPensioner.

means1January2014,beingtheeffectivedateoftherevisionoftheRules.

meanstheseRulesandsuchalterationsasmayatanytimebeinforce.

meansapensionfundoraprovidentfundregisteredassuchundertheAct.

meansthosepersonswhoholdofficeassuchintermsofRule11.1.

DPF • Rule book 12

4.1.1

• AngloCoal

• DebswanaDiamondCompany Contributionrate20%: a.

b.

• DeBeersBotswana

• TheFund(inrespectoftheSecretariatemployees) Contributionrate20%: a.

b.

• DiamondTradingCompanyBotswana

EachEmployermustcontributemonthlyinrespectofeachActiveMem-beranamountequal toone twelfthofhisPensionableEarnings,oratsuchotheramountassuchEmployerisabletodemonstratetotheFundhasbeenagreedwiththatActiveMember.ItisrecordedthatasattheRevisionDatethefollowingaretheEmployerswiththecontributionrateofeachindicated,togetherwiththedetailsastowhatcomprisesthePen-sionableEarningsinrespectoftheActiveMembersofthatEmployer:-

Contributionrate20%: PensionableEarnings includeActiveMember’sannualearnings,andexcludesallfees,honoraria,bonusesorallowancesandanyotherremunerationofanynaturewhatsoever.

PensionableEarningsforanActiveMemberontheAtoCbandincludestheannualholidayleaveallowanceandanysumpaidontheencashmentofoutstandingleave;andexcludesallfees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.PensionableearningsforanActiveMemberwhoisDbandandaboveisbasedonhistotalremunerationpackagewhichcomprises60%ofhistotalpackage

Contributionrate20%:PensionableEarningscompriseauniquepercent-ageofeachActiveMember’s total remunerationpackageprevailingatanygiventime.

PensionableEarningsforanActiveMembersinAtoCbandiscalculatedas20%of70%oftotalpackageandexcludesallfees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.PensionableEarningsforanActiveMemberinDbandandaboveiscal-culatedas20%on60%oftotalpackageandexcludesallfees,honorar-ia,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.

Contributionrate20%:PensionableEarningscomprisesbasicsalaryonly;butwhichexcludesallfees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever;providedthatanActive

DPF • Rule book 13

• DeBeersGlobalSightholderSales Contributionrate20%:

• MorupuleCoalMine Contributionrate20%; a.

b.

• PEOHoldings Contributionrate20%: a.

Memberwhoisonpermanentparttime(asnotifiedbytheEmployertotheFund)hasanoptiontoelecteither10%or20%ofthePensionableEarningsbasedonthetotalremunerationpackage,whichpackagecom-prisesthecashequivalentofsalary,pensionbenefit,medicalbenefitandanyadditionalearningsasdeterminedfromtimetotimebytheEmploy-er;butwhichexcludesallfees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.

Pensionable Earnings comprises the total remuneration package beingthecashequivalentofsalary,pensionbenefit,medicalbenefit,andanyadditionalearningsasnotifiedbytheEmployertotheFundfromtimetotime;butwhichexcludesallfees,honoraria,bonusesorotherallow-ancesandotherremunerationofanynaturewhatsoever;providedthatanActiveMemberwhoisonpermanentparttime(asnotifiedbytheEmployertotheFund)hasanoptiontoelecteither10%or20%ofthePensionable Earnings basedon the total remunerationpackage,whichpackagecomprisesthecashequivalentofsalary,pensionbenefit,medicalbenefitandanyadditionalearningsasdeterminedfromtimetotimebytheEmployer;butwhichexcludesall fees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.

PensionableEarningsforanActiveMemberontheAtoCbandincludestheannualholidayleaveallowance,anymarketallowanceincludedintheannual earnings, and any sumpaid on the encashment of outstandingleave;andexcludesallfees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.PensionableEarningsforanActiveMemberwhoisDbandandaboveisbasedonhistotalremunerationpackagewhichcomprises60%ofhistotal package (benefit value); car allowance, housing benefit, pensionbenefit,medicalbenefit,holidays leaveallowanceandwhereapplicable,amarket allowance; but excludes all fees,honoraria, bonuses or otherallowancesandotherremunerationofanynaturewhatsoever.

PensionableEarningsforAtoCbandActiveMembersincludestheannu-alholidayleaveallowance,anymarketallowanceincludedintheannual

DPF • Rule book 14

b.

4.2 AnActiveMemberisnotrequiredtomakeanyContributionstotheFund.

4.3

4.4

4.5 It is recorded that:

4.5.1

4.5.2

4.6

5. RETIREMENT BENEFITS

earningsandanysumpaidontheencashmentofoutstandingleave;butexcludesallfees,honoraria,bonusesorotherallowancesandotherre-munerationofanynaturewhatsoever.PensionableEarningsforanActiveMemberinDBandandaboveisbasedonhistotalremunerationpackagecomprisethecashequivalentofsalary,carallowance,housingbenefit,pensionbenefit,medicalbenefit,holidaysleaveallowanceandwhereapplicable,amarketallowance;andexcludesallfees,honoraria,bonusesorotherallowancesandotherremunerationofanynaturewhatsoever.

AnActiveMemberor aDeferredMembermaypayoneormoreAdditionalContributionstotheFundinordertoincreasehisFundCredit.SuchAdditionalContributionsmustbecreditedtohisFundCredit.TheminimumandmaximumamountsofanAdditionalContribution,andthefrequencywithwhichitmaybepaidoveraFinancialYear,maybedeterminedfromtimetotimebytheTrustees.

ContributionspayableintermsofRule4.1mustbepaidtotheFundwithin10daysaftertheendofthemonthinrespecttowhichsuchContributionsrelate.AschedulesettingouttheContributionsopaidinrespectofeachActiveMembermustbedeliveredbytheEmployertotheFundwithinthesame10daysperiod.

AnyfailurebyanEmployertoforwardtimeouslytheContributionsorschedulereferredtoinRule4.1mustbereportedforthwithtotheRegulatoryAuthoritybythePrincipalOfficer.

the Fund isonly liable to eachActiveMember in respectof his FundCredit,andthattheFundisnot liabletoanActiveMemberinrespectof aContributionorAdditionalContribution not received. The Fundis alsonot liable toanActiveMember in respectof anyContributionreceivedbytheFundwhichtheFundisunabletoverifyrelatestothatActiveMember;

theFundisnotrequiredtoverifythattheamountoftheContributioninrespectofanActiveMemberreflectsthecorrectamountoftheContri-butionintermsoftheActiveMember’sPensionableEarnings.

DPF • Rule book 15

5.1AmountofBenefit

ThebenefitonretirementofanActiveMemberorDeferredMemberiseither: 5.1.1.

5.1.2.

5.2 Date of Retirement

5.2.1

5.2.2

5.2.3

5.3 Pension payable by Fund

apensionpayablebytheFundtoanActiveMemberorDeferredMem-beronhisretirement,ofsuchamountasisdeterminedbytheTrusteesactingontheadviceoftheActuaryaccordingtotheamountofhisFundCreditatthetimeofretirementaftercommutationintermsofRule5.4andafteraccountistakenoftheelectionmadeordeemedtobemadeintermsofRule5.3;or

AnannuitypurchasedinhisnamewiththeamountofhisFundCreditonsuchtermsandfromsuchInsurerashemaydecide,aftercommutation,ifany,intermsofRule5.4.

AnActiveMemberoraDeferredMembermustretireonhisNormalRetirementDate,unlesspriortohisNormalRetirementDatehisLateRetirementDatehasbeennotifiedtotheFund.

AnActiveMembermayretireuponreachingEarlyRetirementAge.ADeferredMembermay,athiselectionretirebetweenage50andNormalRetirementDate,butmustretireatNormalRetirementDateunlessherequeststheFundinwritingtobepermittedtoretireatanytimeafterNormalRetirementDate.Thetermsofnormalretirement,assetoutintheotherprovisionsofthisRule5,applytoretirementintermsofthisRule5.2.2.

AnActiveMemberorDeferredMembermay,ifyoungerthanhisNormalRetirementDate,retireonthegroundsofill-healthifsatisfactorymedicalevidenceissubmittedtotheFundshowingthatheispermanentlyinca-pableofperforminghisnormalgainfulemploymentoranysimilarem-ploymentoranyotheroccupationforwhichheisreasonablysuitedbyeducation,trainingorexperience.AnapplicationforillhealthretirementbyanActiveMembermustbesupportedbyhisEmployer.Thetermsofnormalretirement,assetoutintheotherprovisionsofRule5,applytoretirementonthegroundsofillhealth.

DPF • Rule book 16

5.3.1

5.3.2

5.3.3

5.3.4

• ifafterprovidingforapensionforaDependent,therearetwoChildren

IntheeventthatapensionispayableintermsofRule5.1.1.thePensionermayelectthatthepensionbenefitbeoneofthefollowing:

Apensionguaranteedfor5(five)yearsandthereafterpayableforlife.IntermsofthisoptionshouldthePensionerdiebeforetheendofthefiveyearperiodafterretirement,anamountequaltothemonthlypensionpayments(basedonthepensionatthetimeofdeath)overtheremain-derofthe5(five)yearperiod,asdeterminedbytheTrusteesactingontheadviceoftheActuary,ispayableinsuchamountstohisDependantsasdeterminedbytheTrustees.IftherearenoDependantsthisamountispayabletothePensioner’sestate.

Apensionguaranteedfor10(ten)yearsandthereafterpayableforlife.IntermsofthisoptionshouldthePensionerdiebeforetheendofthetenyearperiodafterretirement,anamountequaltothemonthlypensionpayments(basedonthepensionatthetimeofdeath)overtheremain-derofthetenyearperiod,asdeterminedbytheTrusteesactingontheadviceoftheActuary,ispayableinsuchamountstohisDependantsasdeterminedbytheTrustees.IftherearenoDependantsthisamountispayabletothePensioner’sestate.

Ajointlifepension.IntermsofthisoptionapensionispayableforthelifeofthePensioneranduponhisdeathaselectedbythePensioneratretirement,hisSpousereceivesa50%ofhispensionfortherestofherlife,hisChildifanyreceivesaupto25%ofhispensionuntiltheageof25(twenty-five)yearsisattained,andanyDependentreceivesupto10%ofhispensionforlife;providedthat:

theSpouse,Childand/orDependentswhobenefitafterthePensioner’sdeathmustbespecifiedatthetimeofthePensioner’sretirement;

thetotalpensionspayableinsuccessionafterthePensioner’sdeathmaynotexceed100%ofthepensionpayabletothepensionerimmediatelybeforehisdeath;

TheelectionrequiredtobemadeintermsofthisRule5.3mustbemadeat least 21(twenty one) days after the day of retirement. Should theActiveMemberorDeferredMemberfailtomakeanelectiontimeouslythenheisdeemedtohaveelectedtheoptioninRule5.3.1

DPF • Rule book 17

5.3.5

5.3.6

5.4 Commutation

5.4.1

5.4.2

theneachmayreceiveapensionequalto25%ofhispension,andiftherearemorethantwoChildrentheneachChildreceivesanequalpensionwhich in totalmaynotexceed50%of thePensioner’spensionat thedateofdeath;

ifaSpouse,ChildorDependentpredeceasesthePensioner,ordiesafterthePensioner’s deathbut before their expected longevity, there is noamountwhichaccruesfromtheFundforthebenefitoftheestateofthePensioner,Spouse,ChildorDependantconcerned;and

iftheChildisphysicallyormentallyincapacitated,basedonmedicalev-idencetothesatisfactionof theTrustees,apension ispayable tosuchChildonceovertheageof25yearsfortherestofhislifeoruntilsuchincapacitynolongerexists,whicheverfirstoccurs,inanamountequalto10%ofthepensionthatwouldhavebeenpayabletothePensionerforsuchperiodasthispensionispayabletosuchincapacitatedChild.

AlifepensionwithasurvivingChildand/orDependantbutnoSpouse.Intermsofthisoption,apensionispayableforthelifeofthePensioneranduponhisdeath,hisChild/renand/orDependant/sreceiveapensionintheproportionstipulatedbythePensioneratretirement,subjecttothesameprovisosinRule5.3.4butexcludingthereferencestoSpouseandthelimitationof25%perChild.,

APensionermaynottransfertoan InsureroraSuperannuationFundonceheisinreceiptofapensionfromtheFund.

Atleast21daysbeforethedayofretirementoftheActiveMemberorDeferredMember,hemayelecttocommuteforlumpsum:

subject to the approval of the Botswana Unified Revenue Services(BURS),ifhispensiondoesnotexceedthelimitsetbylegislationfromtimetotime,thewholepension;or

ifhispensionexceedstheamountin(a),notmorethanonethirdofhispension,orsuchmaximumamountasmaybedeterminedbylegislationfromtimetotime.

DPF • Rule book 18

5.5 Fund Pension Provisions

5.5.1

5.5.2

5.5.3

5.5.4

6. DEATH BENEFITS ACTIVE AND DEFERRED MEMBERS

6.1 Benefits

6.2 PaymentofBenefit

6.2.1

Theamountofeachpensionpayable intermsoftheseRules isdeter-mined by theTrustees acting on the advice of theActuary accordingtoacceptedactuarialprinciples;providedthatthesameprinciplesmustapply,subjecttothetypeofpensionbenefitinRule5.3,toallPensioners.

TheTrusteesmustdeterminethepensionincreasepolicyfromtotimeandcommunicatethistothePensioners,MembersandDeferredMem-bers.

ItisrecordedthatnoEmployerowestheFund,specificallyinrespectoftheFund’sPensionerliability,abalanceofcostobligation.

Whenadeathbenefit ispayable in termsofRule6.1, it ispayable tothosepersonswhoaretheDependentsand/orNomineesoftheMem-ber. If there are noDependants orNominees, payment of the deathbenefitmustbemadetotheMember’sestate.

IfanActiveMemberorDeferredMemberdies,alump-sumequaltohisFundCreditatthetimeofhisdeathispayableasadeathbenefitbytheFund.TheamountofthislumpsummustbedisinvestedandreducedtocashassoonasitisreasonablypracticalfortheFundonceithasbeennotifiedinwritingofthedeath.

IntheeventthattheassetstothecreditofthePensionerAccountback-ingthePensionerliabilityarenotsufficienttosupportthatliability,thenthepensionincreasepolicymustbeadjustedbytheTrusteesonthead-viceoftheActuarytoensurethattheliabilityisreduced;andifthisisnotsufficienttoensurethatthePensionerliabilitydoesnotexceedthecor-respondingassets,thenthepensionsmustbereducedbysuchamountastheActuarycalculateswillenablethematchofthecorrespondingassets.IntheeventthattheTrusteesactintermsofthisRulethenwhentheas-setsrecovertheTrusteesmustadjustthepensionincreasepolicy,ifnec-essaryinstages,sothatitcanreverttowhatitwasbeforeitwasadjusted.

DPF • Rule book 19

6.2.2

6.2.3

6.2.3.1

6.2.3.2

6.2.3.3

TheTrusteesalonedeterminewhoistobenefitfromadeathbenefitintheeventthatthereareDependentsofadeceasedMember,andinwhatproportions.IntheeventthattherearenoDependantsthenthedeathbenefitmustbepaidtotheNomineesofthedeceasedMember.IftherearebothDependants andNominees, then thedeathbenefitmustbepaidforthebenefitoftheDependantsuptotheamountoftheirdepen-dencyonthedeceasedMemberandtakingaccountofthenominationbythedeceasedMemberofhisNominees.

Paymentofthedeathbenefitmaybeinoneormoreofthefollowingways:-

Incash,aftertaxifpayable,totheBeneficiaryunlesssuchBen-eficiaryisundertheageof21yearsortheprovisionsof(c)belowapply.

IftheBeneficiaryisundertheageof25yearsthenapensionispayabletosuchBeneficiaryuntilheattains25yearsofage.TheamountofthepensionisdeterminedbytheTrusteesac-cording to the needs and circumstances of the Beneficiary;provided that ad hoc paymentsmay bemadeby the FundtoorforthebenefitoftheBeneficiary,andprovidedfurtherthatifanybalanceremainsofthebenefitallocatedtosuchaBeneficiarywhenheattainstheageof25yearsthenthismustbepaidtohim.

IftheBeneficiaryisincapacitated(whichforthepurposesofthisRule is ifhe is, in theopinionof theTrustees,unabletomanagehisaffairsforreasonsofphysical,mentaloremotionalinfirmity at the timeof the award of the benefit) then thebenefitisintheformofapensionforlife,andtheamountofthepensionisdeterminedbytheTrusteesactingontheadviceoftheActuaryaccordingtotheamountofthebenefitandtheexpectedperiodoverwhichthepensionwillbepaid.Inthe event that an incapacitatedBeneficiary becomes, in theopinionoftheTrustees,capableofmanaginghisaffairsthensomuchoftheremainingbenefitmustbepaidtohimasalumpsum.ThetransferofallorpartofthebenefitpayabletoanylegallyregisteredtrustorSuperannuationFund,providedtheBeneficiary(orhislegalrepresentative)consentsthereto.

DPF • Rule book 20

6.2.4

6.2.5

7 TERMINATION OF SERVICE

7.1 On Resignation or, Dismissal

7.2 On Retrenchment

7.3

7.4 On Redeployment/Transfers

8. OVERPAYMENTS/UNDERPAYMENTS OF CLAIMS

TheTrusteesmayat theirdiscretionmakeadvancepayment(s) toanyBeneficiarywheresuchpaymentsarerequiredfor,inter-alia,theburialoftheMemberortoprotectanyfinancialinterestofsuchBeneficiary.

TheTrusteesmaymakepaymentofabenefit(includingapension)duetoaBeneficiarywhoisincapacitatedorundertheageof25yearstoororthebenefitofsuchBeneficiary,ortohisguardian,legalrepresentativeorcaregiver.

IfanActiveMemberwhoisnotqualifiedtoretireintermsofRule5.2isnolongeranEligibleEmployee,thenheisentitledtoeitherofthefollowing:

WheretheaccumulatedFundCreditisabovetheamountprescribedbylaw,hehastheoptiontowithdrawalumpsumequaltoorlessthan25%ofhisFundCredit,withthebalanceretainedashisFundCreditasaDeferredMember.

WheretheaccumulatedFundCreditisabovetheamountprescribedbylaw,hehastheoptiontowithdrawalumpsumequaltooruptoonethirdofhisFundCredit,withthebalanceretainedasFundCreditasaDeferredMember.

IftheamountoftheFundCreditofaDeferredMember,oranActiveMemberatthetimeheceasestobeanEligibleEmployee,islessthanthatprescribedbylegislation,thenthefullamountofhisFundCreditmayonrequestbyhimbepaidtohimafterthedeductionofanyapplicabletax.

Thereisnobenefitwithdrawalforre-deployments,secondmentorthecompul-sorytransferofemploymentunlessthereisactualterminationofemployment.

IntheeventthataMemberorBeneficiaryisoverpaidbytheFund,theamountofsuchoverpaymentisrecoverablebytheFundfromsuchMemberorBeneficiaryonsuchtermsastheTrusteesdetermine.

DPF • Rule book 21

9. TRANSFERS

9.1 Transfers into the Fund

9.2 Transfers out of the Fund

10. TERMINATION OF THE FUND

10.1 Liquidation of the Fund

10.2 Liquidation of an Employer

IfapersonwhopriortobecominganActiveMemberwasamemberofanotherSuperannuationFund,andchoosestotransferhisbenefitfromthatSuperannua-tionFundtotheFund,theniftherulesofthatSuperannuationFundpermitsuchatransfertheamountsotransferredmustbecreditedtohisMemberAccount.ADeferredMembermay transfer any benefit from another SuperannuationFundtotheFundiftherulesofthatSuperannuationFundpermitsuchatransfer,andupontransfertheamountofthatbenefitmustbecreditedtohisMemberAccount.

AnActiveMemberonceasingtobeanEligibleEmployee,andaDeferredMem-beratanytime,maybynoticeinwritingtotheFund,requirethatanamountequaltohisFundCreditbetransferredforhisbenefittoaSuperannuationFundofwhichheisamemberorofwhichheisabouttobecomeamember.UponsuchtransferheshallhavenofurtherclaimagainsttheFund.Anactivememberordeferredmemberonretirementhastheoptiontoencashasumnotexceed-ing1/3andtransferouttheremainingbalancetoanothersuperannuationFund.

ShouldtheFundbewoundupwhethervoluntarilyorcompulsorily,aMemberisentitledtoterminatehismembershipandlodgeaclaiminrespectofhisbenefitsintheliquidatedestateoftheFund.TheTrusteesmustappointaliquidatorsub-jecttoapprovalbytheRegulatoryAuthority.

IntheeventofanEmployerbeing liquidatedanActiveMemberemployedbythatEmployer(inliquidation)isentitledtoterminatehismembershipandde-mandpaymentofhisbenefitsinlinewithRule7.2and7.3asatthedateofsuchliquidation.

DPF • Rule book 22

10.3 Liquidation of Participating Employers

10.3.1

10.3.2

(a)

(b)

(c)

Intheeventofawindingup,whethervoluntaryorotherwise,ofalltheEmploy-ers(excludingforthispurposetheFund),orifallsuchEmployersceasetocarryonbusiness,theTrusteesmustappointaliquidatorwhomustterminatetheFundand,ontheadviceoftheActuary:-

paytoanapprovedSuperannuationFundorInsurerthecapitalsumnec-essarytopurchaseapensionforeachPensionerwhichaccords,ascloselyaspossible,inallrespectswithhispensionfromtheFund;and

dividetheremainderofthesumrealisedbytheassetsoftheFundamongtheActiveMembersandDeferredMembersinamountsproportionatetothebalancesstaningtothecreditoftheirrespectiveFundCreditandapplyeachsuchamounttothepurchasefromanInsurerofanannuitywhichincorporateslifecovertothedateofcommencementofpaymentofthepensionandwhichprovidesforcommencementofthepensionfromadatetobeselectedbytheannuitantbetweentheagesof50(fifty)yearsand60(sixty)years;providedthat–

iftheamountavailabletopurchaseanannuityforanyMemberislessthantheamountprescribedbylegislationwhichmaybetakenasalump sumon terminationof employmentwith anEmployer thensuchamountshallbepaidtotheMemberinfull;

if theamountavailable topurchaseanannuity foranyMember islessthantheamountprescribedbylegislationiftheamounttobesodividedexceedstheFundCreditofeachthensuchexcessshallbesurpluswhichshallbedistributed,afterdeductionofanycostsassociatedwithitsdistribution,proportionatelyamongsttheActiveMembers,DeferredMembers and Pensioners in the ratio of theFund’sliabilitytoeach;andmaybetakenasalumpsumontermi-nationofemploymentwithanEmployerthensuchamountshallbepaidtotheMemberinfull;

any amount payable to anActiveMember orDeferredMemberpursuanttotheaboveprovisionwhichremainsunclaimedforape-riodof6months,shallbedepositedinaregisteredtrustwiththeMasteroftheHighCourttothecreditoftheMemberandthere-aftertheMembershallhavenoclaiminrespectthereofagainsthisEmployerortheFund.

DPF • Rule book 23

11. MANAGEMENT OF THE FUND

11.1 Trustees

11.1.1.

11.1.2.

11.1.2.1.

11.1.2.2.

11.1.2.3.

11.1.2.4. avoidconflictsofinterest;and

11.1.2.5.

11.1.3.

11.1.4. TheTrusteesmust:-

11.1.4.1.

11.1.4.2.

TheTrusteesareresponsiblefordirecting,controllingandoverseeingtheoperationoftheFundinaccordancewithalllawswhichareapplicabletotheFundandinaccordancewiththeseRules.

Whentheydirect,controlandoverseetheoperationoftheFund,theTrusteesmust:-

TheTrusteesexercisetheFund’spowersreferredtointheRules.Inad-dition,theTrusteeshavethepowerattheirsolediscretiontomakear-rangementsfortheadministrationoftheFundaslongasthesearrange-mentsarenotinconsistentwiththeActandtheRules.

actwithduecareanddiligenceand in thebest interestsoftheFund;

takeallreasonablestepstoprotecttheinterestsoftheMem-bers;actingoodfaithtowardstheEmployersandanyothestake-holderintheFund;

ensurethatproperaccounts,registersandrecordsoftheop-erationsoftheFundarekept.Theserecordsincludeproperminutesof allmeetingsandofall resolutionspassedby theTrustees;

ensure that true and full accounts of the Fund are kept inaccordancewithgenerallyacceptedaccountingpracticeandanyguidelinesissuedbytheAuditorfromtimetotime.ThoseaccountsmustbemadeuptotheFinancialYearendandmustfairlypresenttheFund’sfinancialstateofaffairsandpositionandmustbeauditedbytheAuditor ;

actwithimpartialityinrespectofallMembersandBeneficia-ries.

DPF • Rule book 24

11.1.4.3.

11.1.4.4.

11.1.4.5.

11.1.4.6.

11.1.4.7.

11.1.4.8.

11.1.4.9.

11.1.5.

11.1.6 FortheTrusteestobeproperlyconstituted,itmustcompriseatall times: • aminimumof6(six)andamaximumofeleven(11)Trustees; • atleast1(one)IndependentTrustee; • atleast1(one)PensionerTrustee;

ensure thatproper controls areused toprotect the assetsoftheFundandtheconfidentialityofMemberandEmployerdata,takingintoaccounttheadviceoftheAuditor ;

ensure that adequate and appropriate information is giventotheMembersinformingthemoftheirrights,benefitsandobligationsintermsoftheRules;

ensurethattheFundoperatesandisadministeredintermsoftheRules,theActandotherapplicablelawsandthattheRulesareincompliancewiththeselaws;

ensure that every title deed and other document whichprovesthattheFundistheownerofaparticularpropertyiskeptinanappropriatesafe-keepingarrangement;and

makesurethatonlypeoplewhohavetheauthorityintermsof a resolutionpassedby theTrustees to signonbehalfoftheFund,signcheques,contractsorotherdocumentsonitsbehalf.

takeallreasonablestepstomakesurethatContributionsarepaidtotheFundontimeandthattheContributionsarede-positedintheFund’sbankaccountassoonareasonablypossibleaftertheyarereceived;

obtainexpertadviceonmattersonwhichtheTrusteesarenotexpert;

TheTrusteesshallestablishsuchpolicies,includingaCodeofConducttowhichtheyaresubject,andasprescribed intermsofPFR10,or inrelation to anyothermatter of the Fund.TheCodeofConductmayprescribeappropriateconductasaTrustee,andalsoforthesuspensionorexpulsionofaTrusteeorsuchothersanctionasmaybeappropriateintheeventofabreachoftheCodeofConduct.

DPF • Rule book 25

• atleast2(two)MemberTrustees; • atleast2(two)EmployerTrustees.

11.1.7

11.1.8

11.1.9

11.2DisqualificationforholdingofficeasTrusteeorAlternateTrustee

11.2.1

11.2.2 isunder18(eighteen)yearsofage;or

11.2.3

11.2.4

11.2.5

11.2.6

11.2.7

If at any time theTrusteesarenotproperly constitutedas required intermsofRule11.1.6thentheTrusteestheninofficehaveonlythepowertofillsuchvacanciesinofficeastoensurethatthereiscompliancewiththerequirementsofRule11.1.6.

ATrusteeisentitledtosuchremunerationforactingassuchastheTrust-eesmayagreefromtimetotime.

TrusteesmayreceivefromtheFundtherefundofallexpensesreasonablyincurredbythemonbehalfoftheFundinaccordancewithpoliciesandlimitationssetbytheTrusteesfromtimetotime.

waspreviouslyaTrusteeandwasfoundbytheTrusteestohavebeeninbreachoftheFund’sCodeofConduct,orhasbeenpreviouslyremovedasatrusteeofanotherretirementfund,unlesstheTrusteesagreetothecontrary;or

ismentallyorphysicallyincapableofdischarginghisorherdutiesintermsoftheseRulesand/ortheAct;or

hashadhisorherestate sequestratedor surrenderedoras signed infavourofcreditorsandwhohasnotbeenrehabilitatedbyacourt;or

has been convicted by a court of theft, fraud, forgery or any offenceinvolvingdishonesty;or

hasbeendischargedbyacourtfromanyofficeoftrustonaccountofmisconduct;or

hasbeenconvictedbyacourtonanychargeandsentencedtoaprisontermwithouttheoptionofafine;or

Apersonisdisqualifiedfrombeingnominated,appointedorcontinuinginofficeasaTrusteeorAlternateTrusteeifthatperson:

DPF • Rule book 26

11.2.8

11.2.9

11.3VacationofOffice

ATrusteeorAlternateTrusteevacatesoffice:

11.3.1

11.3.2

11.3.3

11.3.4

11.3.5

doesnothave,asminimumeducationalqualification,aBotswanaO’levelpassorequivalent.

if theRegulator isof theopinion that thepersondoesnotmeet thefitandproperrequirementsofaTrustee

on furnishing the Fundwith his resignation inwriting as aTrustee orAlternateTrustee;or

ifanyofthegroundslistedinRule11.2becomesapplicabletoaTrustee

ifanindependentinvestigationfindsthataTrusteeorAlternateTrusteeisnotafitandproperpersontoholdofficeandprovidedthatnotlessthan¾(threequarters)oftheTrusteesinofficeagreewiththisfinding.ThisisirrespectiveofwhetherornottherehasbeenabreachoftheFund’sCodeofConduct.ThisissubjecttotheTrusteeshavingheardrepresen-tationsinthematterbytheTrusteeorAlternateTrusteeconcerned,orhisorherrepresentative,beforeacceptingorrejectingthefinding;or

ifaTrusteeorAlternateTrustee,within30(thirty)daysofappointmentorelectionasaTrusteeorAlternateTrustee,failstosigntheacceptanceoftrustform,incorporatingtheCodeofConduct,togetherwithanyan-nexurethereto.ThecontentsofwhichacceptanceoftrustformandanysuchannexuremusthavebeenagreedbytheTrustees;or

if aTrustee fails to complywith theminimummeeting attendance re-quirementofattendanceat75%(seventy-fivepercent)ofallTrusteemeetings,includingmeetingsofanysub-committeeofwhichtheTrusteeisamember,orifaTrusteefailstoattend3(three)consecutiveTrusteemeetingsor3(three)consecutivesub-committeemeetingsofwhichtheTrustee is amember. This applies regardless ofwhether thatTrusteehastenderedanapology. ATrustee’smeetingattendance ismeasuredaccordingtothenumberofmeetingsoftheFundheldduringeachcal-endaryear.FailuretocomplywiththeminimumattendancerequirementmaybecondonedaftergoodcausehasbeenshownbytheTrusteecon-cernedandifgrantedbyamajorityof2/3rd(two-thirds)oftheTrusteesafterconsideringsubmissionsmadebytheTrusteeconcerned;or

DPF • Rule book 27

11.3.6

a.

b.

11.4 Employer Trustees and Alternates

11.4.1 a.

b.

c.

11.4.2

11.4.3

11.4.4 ThetermofofficeofanEmployerTrusteeis5(five)years.

11.4.5

orAlternateTrusteewhileinoffice,inwhichcaseheisdisqualifiedfromremainingaTrusteeorAlternateTrustee;

if beinganEmployerTrusteeor anAlternateTrusteeappointedbyanEmployer:

isno longer intheemploymentoftheEmployerwhichappointedhim,unlessthatEmployeradvisestheFundtothecontraryinwriting.theEmployerwhichappointedtheTrusteebynoticetohimandtheFundwithdrawstheappointment,whichitcandoforanyreason

DebswanaDiamondCompany isentitledtoappoint two(2)Em-ployerTrusteesandtwo(2)AlternateTrustees;DiamondTradingCompanyBotswanaisentitledtoappointone(1)EmployerTrusteeandone(1)AlternateTrustee;theremainingEmployersareentitledtoappointone(1)EmployerTrusteeandone(1)AlternateTrustee,providedthatiftheycannotagreewithin30daysofthevacancyarisingthentheEmployerTrust-eesmustappointtheEmployerTrusteeand/orAlternateTrustee.

IfanEmployerTrustee isnotabletoactassuchtemporarily thenthatAlternateTrusteeappointedbyhisEmployeractsinhisplaceTrustee.IfthereismorethanonesuchAlternateTrusteethentheEmployercon-cernedmustdecidewhichistoactasTrustee,andfailingsuchadecisionbytheEmployertheotherEmployerTrusteeappointedbythatEmployermustmakethatdecision.

IfthereisanyvacancyintheofficeofanEmployerTrustee,orifanAl-ternateTrusteeappointedbyanEmployerceasestoholdofficeassuchthenhis placemustbefilled as soon as is reasonablypossibleby thatEmployer;providedthatifthatEmployerfailstofillsuchvacancywithin30daysofbeingsorequestedtodosoinwritingbytheFundthentheremainingEmployerTrusteesmustfillsuchvacancyonsuchtermsastheydecidewithsuchpersonsofillingthisvacancyholdingofficeonlyuntilthatEmployerfillsthevacancy.

NotwithstandinganyotherprovisionoftheRules,noEmployerTrusteemayservemorethan2(two)successivetermsofoffice.

DPF • Rule book 28

11.5 Member Trustees and their Alternates

11.5.1

11.5.2

11.5.3

11.5.4

11.6 Independent Trustees

11.7 Pensioner Trustee

TheActiveMembershavetherighttoelect4(four)MemberTrusteesbywayofanelectiontobeheldwithineach5(five)yearcyclecoincidingwiththeRevisionDate.AMemberTrusteewhosetermofofficecomestoanendaccordingtothisRulemaybereelected,butnoMemberTrust-eemayservemorethan2(two)successivetermsofoffice.

If there isany temporaryorpermanentvacancyamongst theMemberTrustees then such vacancy is filled by thatAlternateTrusteewho re-ceivedthehighestnumberofvotes,eitherfortheperiodoftemporaryvacancyoruntilthenextelections,asthecasemaybe.

Themembershipof theFund isdivided intosuchConstituencies fromtimetotimeastheTrusteesmaydetermineaccordingtothegeographicalareainwhicheachMemberisemployed.

TheTrusteesmustappointatleastoneormoreIndependentTrustees.AnInde-pendentTrusteeservesa3(three)yearterminoffice.AnindependentTrusteemaybereappointedassuch,butnoIndependentTrusteemayservemorethan2(two)successivetermsofoffice.

EachActiveMembermayvoteatsuchanelectionfor4(four)MemberTrustees,whichelectionmaytakeplaceinsuchmannerastheTrusteesdecidebutmustincludevotingvia(atthediscretionoftheTrustees)ei-thertheinternetorbypostalvote(whichpostalvotemayatthediscre-tionoftheTrusteesbeeitheravotepostedorsentbyfax).SubjecttoRule11.5.4andtheotherprovisionsoftheseRulesthefournomineesreceivingthehighestnumberofvotesbecometheMemberTrustees,andthefournomineesreceivingthenexthighestnumberofvotesbecometheAlternatesTrustees to theMemberTrustees. Subject to the abovetheprovisions inrespectofthenominationof,andtheelectionof,anycandidate,andthenecessaryprocedures inrespectofsuchanelectionaredeterminedbytheTrustees.Anycandidateinanelectionwhofailsto abide by these provisions is, unless theTrustees decides otherwise,disqualifiedfrombeingappointedasaMemberTrustee.

DPF • Rule book 29

11.8 Chairperson, Meetings of and Decision-Making by the Trustees

11.8.1

11.8.2

11.8.3

11.8.4

11.8.5

11.8.6

TheTrusteesmust appoint aTrustee to act as the Chairperson. TheTrusteesmustappointaTrusteetoactasDeputyChairpersonwhoshallassumeofficeoftheChairpersonintheabsenceoftheChairperson.TheChairpersonholdsofficeforaperiodof3(three)years,oruntilhistermofofficeasTrusteeterminates,whicheveristheearlier.TheChairpersonmay,afterhistermofofficeends,bereappointedasChairpersonprovid-edheisaTrustee.However,aTrusteemaynotservemorethantwo(2)successivetermsofofficeasChairperson.

TheTrusteesmustmeetasoftenastheyconsidernecessaryordesirablefortheproperconductof thebusinessof theFund,providedthis isatleast4(four)timesperyear.EachTrusteemustbegivenreasonablenoticeofaTrusteemeeting.

SubjecttoRule11.1.7,forameetingtobeproperlyconstitutedwhenitisfirstscheduledtotakeplace,aquorumisconstitutediftherearepresenttwothirdsoftheTrusteesinofficeandatleastonehalfofthoseTrusteespresentcomprisetheMemberTrustees(whichforthepurposesofthisRule11.8.3includesaPensionerTrustee).ATrusteeispresentifabletoparticipate in ameeting by telephone or video-conference, unless theChairpersondecidesotherwise.

SubjecttoRule11.8.6,thePrincipalOfficer,failingwhomtheCha i r per-son,must give theTrustees reasonablenoticeofeachTrusteemeeting.Thenoticemustspecifythetime,dateandplaceofthemeetingandthegeneral natureof the issues tobediscussedat themeeting. Unless amajorityoftheTrusteesagreethatothermattersmaybediscussedatthemeeting,onlythoseissuesindicatedinthenoticemaybediscussed.

TheChairpersonmay convene a specialmeetingof theTrustees if hethinksitnecessary.

Aspecialmeetingmustbeheldwithin10(ten)workingdaysofitbeingrequested inwriting by at least 4 (four)Trusteeswho have given thePrincipalOfficer–

ThePensionershavetherighttoelectaPensionerTrustee,whoisnotrequiredtobeaPensionertoactassuch.TheprovisionsofRule11.5applyinthesamewaytotheappointmentofaPensionerTrusteeandanAlternateTrusteetohim.

DPF • Rule book 30

11.8.6.1

11.8.6.2

11.8.7

11.8.8

11.8.9 ForanydecisionoftheTrusteestobevalid–

11.8.9.1

11.8.9.2

11.8.10

11.8.11

11.8.12

written notice of the issues to be discussed at the specialmeeting;and

writtenreasonswhytheTrusteesshouldnotwaittodiscusstheseissuesattheirnextordinarymeeting.

ifitwastakeninameeting,Rule11.8.3musthavebeencom-pliedwithand50%(fiftypercent)plus1(one)oftheTrusteespresentmusthavevotedinfavourofthedecision

Ifthedecisionwasnottakeninameetingbutwastakenby“roundrobinresolution”instead,atleast2/3rds(two-thirds)oftheTrusteesinoffice

EachTrusteemeetingmust be chairedby theChairpersonor, if he isunabletodoso,byanotherTrusteeselectedforthatpurposebythoseTrusteespresentatthemeeting.Thepersonchairingthemeetingisre-sponsibleforensuringthatitisconductedinanorderlyfashion.HemayexcludefromthemeetinganyTrusteeorotherpersonwhodeliberatelyignores instructions from theChairperson regarding theway that themeetingistoproceedorwhomakesitdifficultfortheTrusteestofunc-tioninanorderlyfashion.

TheChairpersonmustensurethatminutesaretakenofeachmeeting.ThoseminutesmustbedistributedindraftformtotheTrusteesbynolaterthan2(two)weeksafterthemeetingoftheTrustees.

IftheTrusteesreachdeadlockonanyissuethentheChairpersonhasacastingvote.

ATrusteewhohasanydirectorindirectpersonalfinancialinterest(oth-erthanhis/herinterestasaMember)inadecisiontobetakenbytheTrusteesmust disclose that interest before thedecision is taken andmustnotvoteonthematter.

A decision taken by“round robin resolution”must be noted at thenextordinarymeetingoftheTrusteesandincludedintheFund’sminutebook.

DPF • Rule book 31

11.8.13

11.9 Other Appointments

TheTrusteesmustappoint:

11.9.1

11.9.2

11.9.2.1

11.9.2.2

11.9.2.3

11.9.2.4 ensurethatthedecisionsoftheTrusteesarecarriedout;

11.9.2.5

11.9.2.6

11.9.3

11.10 Insurance

11.10.1IndemnificationofOfficersofFundandInsurance

TheTrusteesmaydecideonageneralpolicytogovernanyaspectofthebusinessoftheFundandmayrecordthatpolicyina“practicenote”.TheTrusteesmustreviewitspoliciesfromtimetotimeandmaychangeitspracticenoteswhenappropriate.

anAuditor,anActuary,aCustodian,andanInvestmentManager(s)andmaywithdrawanysuchappointmentandmakeanotherappointmentinitsplaceatanytime;

thePrincipalOfficer,and,ifthePrincipalOfficerisforanyreasonunabletodischargehisdutiesforaperiodof1(one)monthormore,anactingPrincipalOfficer.ThePrincipalOfficershall:-

TheTrusteesmayappointConsultantsonsuchtermsastheymayde-termine,andmaywithdrawanysuchappointmentasperthetermsofthecontract.

beemployedbytheFundonsuchtermsandremuneratedatsuchrateastheTrusteesshalldetermineinwriting;

berequiredtocarryoutsuchdutiesasarerequiredofaprin-cipalofficerintermsofheAct;

ensurethattheFundcomplieswiththerequirementsoftheActandtheRegulatoryAuthority;

liaiseonbehalfoftheTrusteeswiththemanagementoftheSecretariat,ConsultantsandserviceproviderstotheFund.

berequiredtobeanexofficiomemberofeachcommitteeestablishedintermsofRule11.11,butwithoutvotingrights,unlesstheTrusteesstipulateotherwise;

DPF • Rule book 32

11.10.1.1

11.10.1.2

11.10.2InsuranceofBenefits

11.11 Committees

11.11.1

TheFund indemnifiesandholdsharmlesseachTrustee, thePrincipalOfficer and any person employed by the Fund intheSecretariatagainstany losswhatsoeverhemaysuffer inrespectofanyclaim,proceedingoractionarisingoutoforin-connectionwiththeexerciseofhisdutiesassuch,savewheretheclaimarisesoutoforinconsequenceofthefraudulentornegligentactoromissionofanysuchperson.

TheTrusteesmust insuretheFundagainst lossorharmre-sulting from the fraudulent or negligent act or omission ofanyperson.

TheTrusteesmay in their absolutediscretion insureanyorallof thebenefitsgrantedbytheFundtowhichaMember,maybecomeentitledtofromtheFundwithanInsurerandmaymakepaymentofpremiumsfor such reinsuranceoutof theassetsor incomeof theFundor theContributionsreceivedbytheFund,astheTrusteesmaydecide.

TheTrusteesmustestablishthefollowingcommitteestoassistintheirresponsibilities:

InvestmentCommittee, the functions ofwhich are to provide di-rection,oversightandadvicetotheTrusteesregardingtheFundin-vestments, including formulation of investment policies, StatementofInvestmentPrinciplesandinvestmentimplementationstrategies.

NominationsandRemunerationsCommittee,thefunctionsofwhicharetoensurethatthereisaformal,rigorousandtransparentprocessfortheappointmentofMemberTrusteesandIndependentTrustees;tomakerecommendationsregarding theappropriatecompositionofTrusteecommittees;andtoestablishthehumanesourcespoliciesandpracticesinrespectofthesecretariat.Finance,Audit andRiskCommittee, the functionsofwhichare toensure that best corporate governance practice is applied to theFund;thereisoversightoverfinancialreporting;themanagementofrisksaffectingtheFund;theintegrityofinternalcontrolystems;andtoprovideassurancereportingtotheTrusteesandstakeholders.

Benefits andCommunicationsCommittee, the functions ofwhicharetodeviseasuitablecommunicationstrategyandbenefitsp r o -cesstotheTrustees,andthatsystemsareinplacetocarrythisout.

DPF • Rule book 33

11.11.2

11.11.3

11.11.3.1 Beinwritingandsetoutthepurposeofeachcommittee.

11.11.3.2

11.11.3.3

11.11.4

11.11.5

11.12.MeetingswithMembers

12. FINANCIAL PROVISIONS

12.1 Investments

12.1.1

EachcommitteeestablishedintermsofthisRule,whetheronereferredtoinRule11.11.1or11.11.2,must:-

Comprise,asvotingmembersonly,oneormoreTrusteesand,unlesstheTrusteesdecideotherwise,thePrincipalOfficerasanonvotingmember;

Setoutinitstermsofreferencethepowersandresponsibil-itiesofthatcommittee,whichmustincludeadutytoreportonitsactivitiesateachTrusteemeeting;

AcommitteemayinvitesuchConsultantsorotherpersonstoassistit,butonlyTrusteeswhoaremembersofacommitteemayvoteonamatterbeforethatcommittee.

Adecision takenbya committeeactingwithin its authoritybindstheFundandmustbenotedatthenextTrusteemeet-ing.

TheTrusteesmayalsoestablishanyothercommittee,whetheronanadhocorpermanentbasis; andmayalso terminate theexistenceofanycommittee.

TheTrusteesmayarrangesuchmeetingswithMembersaswillfacilitatethecommunicationbetweentheTrusteesandtheMembersconcerningtheaffairsoftheFund.TheagendaforsuchameetingisdeterminedbytheTrustees,andnoresolutionofMembersatsuchameetingbindstheTrusteesortheFund.

AllmoniesreceivedonaccountoftheFundmustbepaidintoabankingaccountopenedinthenameoftheFundwitharegisteredbank.TheTrusteesalsohavethepower:

toinvestallsurpluscashaspertheprescribedclassesofassetsasap

DPF • Rule book 34

12.1.2

12.1.3

12.2 Expenses

12.3 Actuarial Valuations

12.3.1

provedbytheTrusteesascontainedintheFund’sstatementof invest-mentprinciplesandasprescribedbylaw;

toborrowmoniesuponorwithoutsecurityfromaregisteredbanktomeetanyshorttermcashflowshortage,atsuchrateofinterestandonsuchtermsandconditionsastheymaydeemfit,andifuponsecurity,maysecurerepayment,ofthemoniessoborrowedwiththeinterestthereonbymortgage,pledgeorbondover anyof themovableor immovablepropertyorother assetsof the Fund;provided that theTrusteesmaynot,withouttheexpressconsentinwritingoftheRegulatoryAuthority,borrowmoniesinexcessoftwentyfivepercent(25%)ofthecurrentvalueoftheFund’sassets.

TheTrusteesshallnotsavewiththepriorexpressconsentinwritingoftheRegulatoryAuthorityinvestorkeepinvestedmorethanfive(5%)oftheaggregatevalueoftheFund’sassetsinthebusinessofaParticipatingEmployeroranyassociateofsuchParticipatingEmployer.

TotheextentthattheassetsbackingthePensionerliabilityexceedsthisliability, the excessmust be applied tomeet any underfunding of theSolvencyReserveAccount;

AllexpensesdirectlyrelatedtotherunningoftheFundmustbebornebytheFundanddebited,astheTrusteesmaydecidefromtimetotimeontheadviceoftheActuary,fromtheInvestmentReturnand/orContributions;providedthattheTrusteesmustensurethatthetreatmentofexpensesisattributedequitablywithintheboundsofpracticalityamongsttheFundmembership.TheExpenseReserveAccountistomeetunexpectedexpenses,andisfundedinsuchamountfromtimetotimeastheTrusteesdecideontheadviceoftheActuaryfromtheInvestmentReturn.

TheTrusteesmustcausetheFundtoundergoanactuarialvaluationatsuchfre-quencyastheTrusteesdecide,butatleastatsuchintervalsasrequiredbylaw,bytheActuaryforthepurposesofdeterminingwhetheritcontinuestobecapableofmeetingthebenefitsandoutgoingsspecified intheRules.SuchavaluationmustbecarriedoutaccordingtotherequirementsoftheActandtheRegulatorandmust also complywith the requirementsof thisRule12.3. In a valuationcarriedoutintermsofRule12.3:-

DPF • Rule book 35

12.3.2

12.3.3

12.3.4

12.4 Fund Accounts

ThefollowingAccountsmustbemaintainedintheFund:-

• MemberAccount; • PensionerAccount; • DataReserveAccount; • ProcessingErrorReserveAccount; • ExpenseReserveAccount; • SolvencyReserveAccount; • UnclaimedBenefitsAccount.

12.5TheprovisionsrelatingtotheAccountsareasfollows:-

12.5.1 MemberAccount

12.5.1.1 ThefollowingmustbecreditedtotheMemberAccountrelat-ingtoeachActiveMemberandDeferredMember:

AsurplusonlyarisesinthePensionerAccountortheSolvencyReserveAccount ifbothoftheseAccountsare fully funded intermsofsuchavaluation,andthereareassetssufficientlyinexcessofeitherorbothoftheseAccountstowarranttheapportionmentofthat,iftheTrusteessodecideaftertakingaccountofthecostsinvolved.AnysuchsurplusmayonlybeappliedforthebenefitofthePensionersinsuchmannerastheTrusteesdecide.

TotheextentthattheassetstothecreditoftheDataReserveAccountexceedwhattheTrusteesdecideshouldbetheamounttothecreditofthisAccount,thensuchsurplusmustbeallocatedequitablybytheTrust-eesbetweentheMemberAccountsontheonehandandthePensionerAccountontheotherhand.Similarly,ifthereisadeficitintheDataRe-serveAccountthenthedeficitmustbemetfromtheMemberAccountsontheonehandandthePensionerAccountontheotherhandinawaythattheTrusteesdecideisequitable.

TotheextentthattheassetstothecreditoftheProcessingErrorRe-serveAccountexceedwhattheTrusteesdecideshouldbetothecred-it of thisAccount, then this excess constitutes surpluswhichmust beappliedproportionatelytoeachMemberAccount.Similarly, if thePro-cessingErrorReserveAccountisindeficitthethisdeficitmustbemetproportionatelyfromtheMemberAccounts.

DPF • Rule book 36

(a)

(b) (c) positiveInvestmentReturn; (d)

12.5.1.2 ThefollowingmustbedebitedfromeachMemberAccount:

(a)

(b) anyamountcommutedonretirement; (c) anyamountpaidtoanInsureronretirement; (d) anyamountpaidincashonhiswithdrawalordeath; (e)

(f)

(g) negativeInvestmentReturn.

12.5.2 PensionerAccount

12.5.2.1 ThefollowingmustbecreditedtothePensionerAccount: (a)

(b)

(c)

(d) positiveInvestmentReturn.

12.5.2.2 ThefollowingmustbedebitedtothePensionerAccount: (a) pensionspayableintermsoftheRules; (b) anylumpsumpayabletoanincapacitatedBeneficiary intermsofRule6.2.3(c); (c)

Contributionsand,ifapplicable,AdditionalCon t r i bu -tions,intermsofRule4;anyamounttransferredinrespectofhimfromaSuper-annuationFund;

any amount transferred to thePensionerAccountonhisretirementordeath;

anyamount transferred toaSuperannuationFundontheterminationofhismembershipoftheFund;

any amount transferred from the Data Reserve Ac-countortheExpenseReserveAccount;anyamounttransferredfromtheSolvencyReserveAc-count;

any amount required to be transferred to the DataReserveAccountortheProcessingErrorReserveAc-count;

anyamounttransferredfromtheMemberAccountontheretirementordeathofanActiveMemberorDe-ferredMember;

anybalanceofpensionpayabletotheestateofade-ceasedPensionerinrespectoftheremainderofaguar-anteeperiodasreferredtoinRules5.3.2and5.3.3;

any amount transferred from the Data Reserve Ac-count, the Processing Error ReserveAccount or theExpenseReserveAccount.

DPF • Rule book 37

(d)

(e) anyamounttransferredtotheDataReserveAccount; (f) negativeInvestmentReturn.

12.5.3 DataReserveAccount

12.5.3.1

(a)

(b)

(c) positiveInvestmentReturn.

12.5.3.2

(a)

(b)

(c) negativeInvestmentReturn.

12.5.4 ProcessingErrorReserveAccount

12.5.4.1 ThefollowingmustbecreditedtotheProcessingError ReserveAccount:

(a)

(b)

(c) positiveInvestmentReturn.

12.5.4.2 ThefollowingmustbedebitedfromtheProcessingError ReserveAccount:

any amount in excess of the Pensioner liability trans-ferred to the Solvency ReserveAccount in terms ofRule12.3.1;

theamountcreditedtothisAccountintermsoftheAc-tuarialValuationoftheFundasat31December2012;

somuchasisnecessarytobetransferredtoaMemberAccountorthePensionerAccountinordertoremedyanyincorrectdataheldbytheFund;

theamountrequiredtoberetainedasacredittotheaccountbytheActuaryintermsoftheactuarialvalua-tionoftheFundasat31December2012;such additional amounts required by the Actuary intermsofanyactuarialvaluationoftheFundtobecred-itedtothisAccount,fromtheMemberAccount;

anyamounttransferredfromeachMemberAccountorthePensionerAccount;

somuchasistransferredtothePensionerAccountortheMemberAccount;

ThefollowingmustbecreditedtotheDataReserveAccount:

The followingmustbedebited from theDataReserveAc-count:

DPF • Rule book 38

(a)

amounttothecreditoftheMemberAccount; (b) amountstransferredfromthisAccounttotheMember Account; (c) negativeInvestmentReturn.

12.5.5 ExpenseReserveAccount

12.5.5.1 ThefollowingmustbecreditedtotheExpenseReserve Account:

(a)

(b)

(c) positiveInvestmentReturn;

12.5.5.2 ThefollowingmustbedebitedfromtheExpenseReserve Account:

(a)

(b) anyamounttransferredtotheMemberAccount; (c) negativeInvestmentReturn.

12.5.6 SolvencyReserveAccount

12.5.6.1 TheprovisionsrelatingtotheSolvencyReserveAccountare asfollows:

(a)

theamountrequiredtoberetainedasacredittotheaccountasdecidedbytheTrusteesontheadviceoftheActuaryintermsoftheactuarialvaluationoftheFundasat31December2012orintermsofanysubsequentactuarialvaluation;suchportionoftheInvestmentReturnand/ortheCon-tributionsastheTrusteesdecidefromtimetotimeontheadviceoftheActuary;

anyunexpectedexpensewhichisnotbudgetedtobedebitedfromtheContributionsand/orInvestmentRe-turn,

theFundmaymaintainaSolvencyReserveAccounttointroduceameasureofprotectionoftheFund’sfinan-cialpositioninrespectofthePensionerAccountagainstnegativemarketmovementsandadversedemographicexperience.

anyamountinrespectofprocessingerrors,includingformismatchingandtimingdifferencesintheactualinvest-mentordisinvestmentofFundAssetsbackingthe

DPF • Rule book 39

(b)

(c)

12.5.7 UnclaimedBenefitsAccount

12.5.7.1 ThefollowingmustbecreditedtotheUnclaimedBenefits Account:

(a)

(b) positiveInvestmentReturn;

12.5.7.2 ThefollowingmustbedebitedtotheUnclaimedBenefits Account: (a)

(b)

(c) (d) negativeInvestmentReturn; (e) anyamountcreditedtotheExpenseReserveAccount.

13. ADMINISTRATION OF THE FUND

13.1 TheSecretariatprovidessuchadministrationservicestotheFundonthebasissetoutfromtimetotimeinwritingbytheTrustees.TheTrusteesmayatanytimedirectthatsuchadministrationservices,oranypartthereof,beundertak-enby,orwiththeassistanceofoneormoreConsultantsastheTrusteesmaydecide,andinsuchmannerandonsuchtermsastheTrusteesdecide.

TheleveloftheSolvencyReserveAccountmustbede-terminedbytheTrusteesontheadviceoftheActuaryateachActuarialValuationdateof theFund,andmaynotexceedthelevelofavailableassetsaftertakingintoaccounttheliabilitiesinthePensionerAccountintermsoftheseRules.

AstheSolvencyReserveAccountisonlyinrespectoftheFund’sliabilitytowardsthePensioners,anyreleaseoftheamounttothecreditoftheSolvencyReserveAc-countmayonlybecreditedtothePensionerAccount.

anywithdrawal or death benefitwhich has remainedunpaidforsuchperiodastheTrusteesmaydeterminefromtimetotime;

the costs of advertising for, tracing or identifying anyMemberorBeneficiarywhosebenefithasbeencredit-edtothisAccount;

any benefit held in thisAccountwhich is due to anyMemberorBeneficiary;

anyunpaidbenefitwhichisdealtwithintermsofRule23;

DPF • Rule book 40

13.2.

13.3

13.4.

13.5.

14. AMENDMENT OF RULES

14.1TheTrusteesmayinwritingamendtheseRulesatanytime.

14.2.

14.3

14.4

15. INTERPRETATION OF RULES

15.1

TheFundmustkeepacompleterecordindefinitelyofallnecessaryparticularsoftheMembers,DeferredMembers,Pensionersandanyotherpersonsenti-tledtobenefitsandofallothermattersessentialtotheoperationoftheFund.

No amendment to theRuleswhich results in increasedContributions or adifferentNormalRetirementDatemaybemadewithoutthewrittenconsentofeachEmployer.

TheRegulatoryAuthorityandtheBotswanaUnifiedRevenueService(BURSmustbenotifiedofallamendmentstotheseRulesandnoamendmentisvaliduntil it has been approved and registered by the RegulatoryAuthority andBURS.

IftheregistrationofanyRuleamendmenttakesplaceaftertheeffectivedateof the Rule amendment, the amendment nevertheless takes effect from itseffectivedate.

ThedecisionoftheTrusteesastothemeaningofor interpretationoftheseRulesorofanyparticularRuleorpartofaRuleisfinalandbindingoneveryEmployer,MemberandBeneficiary.

Allcheques,contractsandotherdocumentspertainingtotheFundmustbesignedbysuchpersonsastheTrusteesbyresolutionmayappoint;providedthatdocumentstobedepositedwiththeRegistrarRegulatormustbesignedinthemannersetoutintheAct.

TheSecretariatreportstothePrincipalOfficer,whointurnisaccountabletotheTrusteesforthefunctioningoftheSecretariat.ItisrecordedthattheTrust-eesdonotinvolvethemselvesinthedaytodayfunctioningoftheSecretariatunlessthePrincipalOfficerisnotabletocarryoutthatfunction.

TheTrusteesandtheFundareentitledtorelyontheinformationfurnishedbyaMember,DeferredMember,PensioneroranEmployer,andarenotliableforanylosswhichmaybesufferedbyanyMember,DeferredMember,Pensioner,Beneficiary, Employeror anyotherperson as a resultof so relyingon suchinformation.

DPF • Rule book 41

15.2

15.3

16. MISCELLANEOUS/GENERAL PROVISIONS

16.1TheRulesdonotconstituteconditionsofservice.

16.2

16.3

16.4

16.5

16.6

16.6.1

16.6.2

NopersonhasanyclaimagainsttheFundasMemberorBeneficiary,exceptinaccordancewiththeRules.

EveryPensionerandDeferredMembermustnotifytheFundinwritingofhiscontactandsuchotherdetailsastheTrusteesdeterminefromtimetotime,includinghisplaceofresidence,postaladdress,andtelephonenumber,andofanychangeofsuchdetailsiftheyoccur.

TheFundmayrequireeveryPensionertoprovideproofofhisexistenceev-eryyear insuchmanneras theTrusteesmaydecide. IfanyPensionerdoesnotprovidesuchproofthenhispensionmaybesuspendedbytheFunduntilsuchproofisprovidedtotheFund.IfaPensionerfailstoprovidesuchproofofexistenceforacontinuousperiodof5(five)yearsdespitebeingrequestedtodosoinwritingaddressedtohislastaddressknownbytheFundthenthePensionerisdeemed,unlesstheTrusteesdecidetothecontraryforanyreason,tohavedied in themonthwhichcoincideswith thefifthanniversaryof therequestforproofofhisexistence,andthepensionsunpaidtohimatthatdatereverttotheFund.

NothingintheRulesrestrictsinanywaytherightofanEmployertoterminatetheemploymentofanActiveMember.

If, in the opinion of theTrustees any person otherwise entitled to benefitsundertheserules–

isowingtoprovendisease,mentaldisorderordefect,notresponsibleforhisactionsorisincapableofmanaginghisaffairs;

isprovenaddicted to theexcessiveuseofanydrugorof intoxicatingliquorsorareotherwiseofintemperatehabits;and

Indecidingonanyquestionoffact,theTrusteesmayactuponsuchevidenceandadviceastheydeemadequate.

Inarrivingatadecision,theTrusteesmayreceiverepresentationsorallyorinwritingorinanysuchmannerandonsuchtermsastheymaydetermine.

DPF • Rule book 42

16.6.3

(i) Tothesaidpersonininstalments;and/or (ii) WhollyorpartlytohisDependantorDependants;and/or (iii)

(iv)

16.7.

16.7.1maydeterminewhotheDependantsare,ofthepersonconcerned;and

16.7.2

16.7.3

17.

18.

19.

20.

A Court of competent jurisdiction, in each instance thereby dis-chargingtheFund’sliabilitytothatperson.

mayselectandfromtimetotimevarytheDependantorDependantsto whom payments are, under these Rules, to bemade and in whatproportions;and

theTrusteesmaymakepaymentofa lumpsumbenefitby instalmentsandtheyshalladdtothepartretainedbythem,interestatsuchrateastheymayfromtimetotimedetermine.

All payments due to, or in respect ofMembers,Dependants or Beneficiaries aremadeinthecurrencyoftheRepublicofBotswana.

IfaMemberhasceasedactivemembershipandhasunallocatedContributions,theContributionswhenallocatedmustbecreditedtohisMemberAccount.IftheMem-berhasuponresignationoptedtoexit theFund,suchmoniesmustafter taxationthereon,ifpayable,berefundedtotheMember.

ShouldtheTrusteesbecomeliableatanytimetoaccounttoanytaxauthorityforanyincomeorothertaxonanypaymenttoaMember,asumequivalenttotheamount

IfaDeferredMembercanprovebeyondreasonabledoubttotheTrusteesthathehaspermanentlyrelocatedfromBotswanatoanyothercountry,theTrusteesmayex-ercisetheirdiscretiontotransferhisFundCredittoaretirementfundinthatcountryprovidedtherulesofthatretirementfundpermitthis,suchatransferislawfulanddoesnotcompromisethetaxstatusoftheFund;alternatively,theTrusteesmayallowtheDeferredMembertowithdrawfromtheFundandtoreceivehisFundCreditincash, subject to tax thereonand to theapprovalofBotswanaUnifiedRevenueServicesandNBFIRA

ToTrusteeseitherforthebenefitofthepersonorofhisDependantsorofboth;

isprovenprodigal,orunderage;hasfailedonaccountofimprisonment,desertion, divorceor anyother cause, to support personsdependentuponhimformaintenance,theTrusteesmayintheirdiscretionpaysuchbenefits-

WhereundertheseRulespaymentsaretoormaybemadebytheTrusteestoDependants,theTrustees,absolutelyintheirowndiscretion:

DPF • Rule book 43

21.

22.

23.

forwhichtheTrusteesmaybesoliableshallbedeductedbythemfromtheMember’spayment.

AnydisputebetweentheFundandanyMemberoranypersonwhoseclaimisde-rivedfromaMembershallbereferredtotheTrusteeswhosedecisionthereon,ifnotcontrarytotheRules,shallbefinalandconclusive.AMembersoaggrievedbyhedecisionoftheTrusteesshallapplytotheNon-BankFinancialInstitutionsRegulatoryAuthorityforadjudication.

Notwithstanding anything contained in theseRules, if theTrustees consider that apensionpayableistoosmalltojustifyitspaymentasapension,theTrusteesmay,intheirabsolutediscretion,commutesuchpension,eitheratthetimeitisgrantedorlater,foralumpsumandthepaymentofsuchlumpsumtheamountofwhichshallbedecideduponbytheTrusteesactingupontheadviceoftheActuarytothatpen-sioner,shallrelievetheFundofallliabilityinrespectofthepensionwhichhasbeensocommuted.Providedfurther,however,thatnotmorethanonethirdofthepensionmaybecommutedunderthisRule,exceptwherethepensionislessthanP5000(fivethousandPula)perannumorsuchamountlaiddownintheRegulations.

Anybenefitwhichisunclaimedforaperiodof6(six)monthsmustbecreditedtotheUnclaimed BenefitsAccount. If such an unclaimed benefit remains unclaimedafter5(five)yearsfromwhenitfirstbecamepayableitmay,atthediscretionoftheTrustees,andprovidedtheyhaveplacedanadvertisementinanewspapercirculatedinthedistrictinwhichthepersonentitledtothisbenefitwaslastknowntolive,andalsosoughttheassistanceofatracingagency,becancelledandreverttotheFund;provided that an unclaimed benefit which originates from a death benefit whichwasdistributedintermsofRule6mustaftersuchtimeastheTrusteesconsiderap-propriateberedistributedinsuchproportionsastheTrusteesconsiderappropriateamongsttheoriginalsurvivingandtracedBeneficiariestowhomthatdeathbenefitwas awarded, andonly if there are no such Beneficiariesmay such an unclaimedbenefitreverttotheFundsubjecttotheotherprovisionsofthisRule.AnyunclaimedbenefitwhichrevertstotheFundintermsofthisRulemustbetreatedassurplusorotherwisedealtwithforthebenefitoftheFundastheTrusteesintheirabsolutediscretiondecideafterreceivingadvicefromtheActuary.

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