Paragraph 1 Persons with service between 1st January 1972 and 1st August 1978

(1)

This paragraph applies in relation to a person who was a participant on or after 1st January 1972 and who has not been a participant at any time after 1st August 1978.

(2)

Where a participant dies in circumstances where he has become entitled to receive a pension under paragraph 1 or paragraph 3 of Schedule 9 or under both those paragraphs and no pension in respect of him is payable under paragraph 1, paragraph 3, or paragraph 5 of Schedule 12, the Trustees may, if they think fit in their discretion to do so, grant to his personal representatives a gratuity under this paragraph.

(3)

For the purpose of determining the amount of a gratuity which may be granted in respect of a person under this paragraph, there shall be calculated—

(a)

the greater of—

(i)

the amount of a Member’s pensionable salary at the time of his death;

(ii)

the aggregate of the contributions paid by that person, and not refunded to him, together with interest on each such contribution from the date when it was paid, and

(b)

the aggregate amount of the payments made to him by way of pension under paragraph 1 or paragraph 3 of schedule 9 together with any lump sum paid to him under regulation G1;

and the amount of the gratuity shall be the amount (if any) by which the amount calculated under paragraph (a) exceeds the amount calculated under paragraph (b) of this sub-paragraph.