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EBSA News Brief

Office of Public Affairs Philadelphia PA
For Immediate Release: July 5, 2013
Contact: Joanna Hawkins or Leni Uddyback-Forston
Phone: 215-861-5101 or 215-861-5102
E-mail: hawkins.joanna@dol.gov or uddyback-fortson.lenore@dol.gov
Release Number: EBSA 13-56

US Labor Department sues Columbia, Md., medical practice
to recover lost employee contributions to 401(k) Plan

Date of Action: July 1 , 2013

Type of Action: Complaint

Name(s) of Defendant(s): David O. Nyanjom, Laura Nyanjom, Pulmonary Disease & Critical Care Associates, P.A and Pulmonary Disease & Critical Care Associates, P.A. 401(k) Plan

Allegations: David O. Nyanjom is the sole owner of Pulmonary Disease & Critical Care Associates, P.A., a medical practice located in Columbia, Md. In 1998, PDCCA established the Pulmonary Disease & Critical Care Associates, P.A. 401(k) plan for its employees. Employees of Patuxent Hospitalists LLC, also owned by David O. Nyanjom, also participated in the plan.   PDCCA, David O. Nyanjom and Laura Nyanjom were plan fiduciaries, responsible for making decisions concerning the remittance of elective contributions to the plan. 

An investigation conducted by the U.S. Department of Labor’s Employee Benefits Security Administration found that between November 24, 2006 and April 16, 2012, PDCCA, David Nyanjom and Laura Nyanjom failed to ensure that employee contributions and plan loan repayments were remitted and collected by the plan in a timely manner.  The investigation determined that employee deductions representing voluntary contributions and loan repayments for employees of PDCCA and Patuxent Hospitalists, LLC to the plan, totaling $103,629.94 plus interest, were not remitted.

Resolution: The complaint seeks restitution to the plan of delinquent employee contributions and loan repayments, including lost opportunity costs; the appointment of an independent fiduciary to administer or terminate the plan; an order requiring the plan to set off any individual account balances of David Nyanjom and Laura Nyanjom against the amount of losses, including interest or lost opportunity costs and the costs of the independent fiduciary, resulting from their fiduciary breaches; and an injunction barring the defendants from serving as fiduciaries to any ERISA-covered plans.

Court: United States District Court for the District of Maryland

Docket Number: 1:13-cv-01909-CCB

U.S. Department of Labor materials are accessible at www.dol.gov.  The information above is available in large print, Braille, audio tape or disc from the COAST office upon request by calling 202-693-7828 or TTY 202-693-7755.