Royal Canadian Mounted Police Superannuation Regulations

9.03 (1) The contributor shall, within 30 days after the day on which the notice of default is sent,

• (a) pay the arrears, together with interest, in a lump sum; or

• (b) opt to pay the arrears in monthly instalments over a period that corresponds to the period beginning on the day on which the contributor first defaults on the payment and ending on the day on which the notice is sent.

(2) Arrears that are paid in a lump sum shall bear interest, compounded annually, beginning on the day of the payment default and ending on the day on which the notice of default is sent, at a rate equal to the projected rate of return of the Royal Canadian Mounted Police Pension Fund that was used in the preparation of the actuarial valuation report that was most recently laid before Parliament, in accordance with section 30 of the Act, before the day on which the notice is sent or, if that report was laid before Parliament in the month in which that day falls or in the preceding month, of the report that was laid before Parliament immediately before that report.

(3) Arrears that are paid in monthly instalments shall bear interest, compounded annually, beginning on the day of the payment default and ending on the day on which the payment is received by the Commissioner, at a rate equal to the projected rate of return of the Royal Canadian Mounted Police Pension Fund that was used in the preparation of the actuarial valuation report that was most recently laid before Parliament, in accordance with section 30 of the Act, before the day on which the contributor exercises the option or, if that report was laid before Parliament in the month in which that day falls or in the preceding month, of the report that was laid before Parliament immediately before that report.

(4) The instalments shall begin on the later of

• (a) the first day of the month after the end of the period that was chosen under paragraph 9(2)(a), and

• (b) the first day of the month after the day on which the contributor exercises the option.