Bill > HB2114

This bill makes a technical amendment to Section 1-110 of the Illinois Pension Code, which governs prohibited transactions for retirement systems and pension funds. The bill appears to make a minor grammatical change in the introductory language of subsection (a), replacing a repeated "the" with "the" (which seems to be a very slight technical correction). The broader context of the existing law prohibits fiduciaries from engaging in transactions that could create conflicts of interest or potential financial harm to retirement systems. Specifically, the law prevents fiduciaries from conducting transactions that involve selling, exchanging, or leasing property, lending money, or transferring assets under unfavorable conditions, and from using their position to benefit personally from the retirement system's assets. The bill maintains the existing prohibitions against self-dealing, such as preventing fiduciaries from acting in their own interests, participating in transactions that conflict with the fund's interests, or receiving personal compensation from parties dealing with the retirement system. The law also includes specific exceptions, such as allowing trustees to receive benefits as participants and get reimbursed for legitimate expenses. The amendment preserves the original intent of protecting the financial integrity of public employee retirement systems by maintaining strict guidelines for fiduciary conduct.

Government Affairs

https://www.ilga.gov/legislation/BillStatus.asp?DocNum=2114&GAID=18&DocTypeID=HB&SessionID=114&GA=104