The National Treasury Management Agency (Amendment) Act 2014 provides for the transfer of the liabilities of the National Pensions Reserve Fund Commission (the “Commission”) to the NTMA (as controller and manager of the ISIF) on and after the date of constitution of the ISIF, and states that the NTMA (as controller and manager of the ISIF) is responsible for discharging the obligations of the Commission under any such liability. In this regard, litigation is ongoing in New York in respect of the 2007 leveraged buy-out of the Tribune Company. The litigation involves more than 5,000 shareholders of the Tribune Company, including the Commission. In January 2017 a New York District Court judge dismissed the claim. The plaintiff is seeking to appeal that decision to the U.S. Second Circuit Court of Appeals. As of the reporting date, the NTMA (as controller and manager of the ISIF) has a possible but uncertain obligation in respect of this case and therefore no provision has been recognised. In addition, the possibility of an outflow of resources cannot be reliably estimated, nor is it practicable to estimate the financial effect, if any, on the NTMA of the outcome of the case on the ISIF.

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