CFTC received a complaint alleging unconscionable conduct by Vanguard Life Assurance Company.
The Commission found that the Complainant had a “Cash Builder Policy” with the Respondent, covering a period between 1st November, 2008 to 1st November, 2018. Upon the maturity of the Policy, the Complainant wanted to cash out.
The Respondent however declined to process the Complainant’s payment on the grounds that the maturity date on the policy was an error and was instead supposed to mature in year 2030 in compliance with the Pensions Act (2011) Amendment.
The Commission found that cashing out the policy would be in violation of the Pensions Act but that the Respondent should have communicated to the Complainant the implications of the Pensions Act in 2011.
Following deliberation, the Commission found the Respondent liable for unconscionable conduct and ordered the Respondent to pay a fine of MK500,000.00 for engaging in unconscionable conduct.