34. If the actuarial value of the reduced retirement pension, established in accordance with the actuarial assumptions and methods determined by regulation, is less than the sum of the contributions with interest accrued, in the manner and at the rate prescribed by regulation, on the date on which the retirement pension would be payable, the retirement pension is adjusted in such a manner as to render the value equal to the sum of the contributions and interest.
Instead of receiving a reduced retirement pension, a person who is under 60 years of age may, upon an application made in accordance with the conditions and in the manner prescribed by regulation, elect to receive payment of the actuarial value of the reduced pension.
The amount referred to in the second paragraph bears interest in the manner and at the rate prescribed by regulation from the date on which the retirement pension would have been payable until the date on which payment is made. The amount shall be transferred to a locked-in retirement account with a financial institution chosen by the person.
The expression “locked-in retirement account” has the meaning assigned to it by the Supplemental Pension Plans Act (chapter R-15.1).
Payment of the amount referred to in the second paragraph shall cancel any entitlement to the retirement pension.
1982, c. 66, s. 34; 1992, c. 9, s. 2.