THE EDITOR, Sir:You reported in The Gleaner of May 25, that, the Leader of the Opposition, Bruce Golding, told a Generation 2000 (G2K) seminar on May 24, 2006, that it was illegal for the Government to take funds from the National Insurance Fund (NIF).
The report indicated that Mr. Golding stated that Section 39 (3) of the National Insurance Act stipulates that no payment can be made from the fund except for approved benefits, refund of contributions and administrative expenses.
What I am not clear on is why Mr. Golding did not also quote Section 39 (4) which immediately follows the section that he did quote. Section 39 (4) states as follows:
"Any moneys and investments forming part of the fund may from time to time be invested or realised, as the case may be, in accordance with the directions of the minister responsible for finance."
Unless Mr. Golding did say this and it was not picked up by the media, including the live radio broadcast, he should issue a clear statement as to why he is suggesting that the proposal is illegal, given Section 39 (4) which I have mentioned above.
Based on my humble understanding, one of the most common forms of investment is the lending of money with the requirement that it be repaid at a later date with interest. It therefore seems to me that this is clearly an investment proposal that is very much legal.
I am, etc.,
JUAN PEDRO
Oaklands Apartments, Kingston 8
