Chicago Teachers Pension Fund overpays retirees nearly $2.8 million

The Chicago Teachers Pension Fund overpaid retirees nearly $2.8 million in recent years because of a misinterpretation of state law, fund officials said.

More than a quarter of the money has been returned, and officials are continuing efforts to collect the rest, fund officials said.

According to pension fund officials, 234 retirees were paid benefits that exceeded the amount they were owed after a 2012 policy change led the fund to send out benefits based on a date before those individuals actually left the school system. The overpayments were first reported by the Better Government Association.

Some of the overpayments were substantial. Information provided by the pension fund showed 20 retirees were paid between roughly $32,000 and $217,000 more than they were owed. The average overpayment was just less than $12,000.

Read more: http://www.chicagotribune.com/news/local/breaking/ct-teacher-pension-payment-error-met-20160815-story.html