EBSA News Brief
Office of Public Affairs Philadelphia PA
For Immediate Release: May 1, 2014
Contact: Joanna Hawkins or Leni Uddyback-Forston
Phone: (215) 861-5101 or (215) 861-5102
E-mail: email@example.com or firstname.lastname@example.org
Release Number: EBSA 14-027
Perez v. Timothy A. Clark, et. al., involving 401(k) plan of Enola, Pa., medical practice
Date of Action: April 22, 2014
Type of Action: Consent Judgment
Name(s) of Defendant(s): Timothy A. Clark, Central Pennsylvania Pulmonary Associates LLC and Central Pennsylvania Pulmonary Associates LLC 401(k) plan
Allegations: Based on an investigation conducted by the U.S. Department of Labor’s Employee Benefits Security Administration, on Dec.12, 2013, the Secretary of Labor filed a complaint alleging as follows: Timothy A. Clark was the president of Central Pennsylvania Pulmonary Associates LLC, a medical practice located in Enola, Pa. In 2005, Central Pennsylvania Pulmonary Associates LLC established the Central Pennsylvania Pulmonary Associates LLC 401(k) plan for its employees.
CPPA and Clark were plan fiduciaries, responsible for making decisions concerning the remittance of elective contributions to the plan.
Between June 15, 2010 and April 30, 2011, CPPA and Clark failed to ensure that elective employee contributions and plan loan repayments were remitted to the plan and collected by the plan in a timely manner. Resolution: The court ordered Clark and CPPA to restore $30,878.20 representing delinquent employee contributions and loan repayments totaling $27,537 to the plan, as well as lost opportunity costs totaling $2,341. The court also appointed an independent fiduciary to administer or terminate the plan, and to use any of Clark’s individual plan account balance to offset against the plan’s losses, including the costs of an independent fiduciary. Further, the court permanently enjoined Clark and CPPA from serving as fiduciaries to any Employee Retirement Income Security Act -covered plan.
Court: United States District Court for the Middle District of Pennsylvania
Docket Number: 1:13-cv-02949-WWC
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.