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Release Date: 02/23/2001
Release Number: 02
Contact Name: Sharon Morrissey
Phone Number: 202.219.8921
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A St. Louis businessman and former trustee of the
Woodson Products Company 401(k) Plan was sentenced February 16 to three
years probation, including four months of home confinement, and fined
$40,000. In addition, Woodson Products Company, L.L.C.was placed on two
years probation and fined $75,000. |
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Defendant R. Taylor Matthews, Jr., former manager of
Woodson Products, pleaded guilty on November 22, 2000, to embezzling
$1,048,000 from the 401(k) plan in 1999. Woodson Products also entered a
guilty plea for the same offense. |
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According to the plea agreement, Matthews received
checks, totaling $1,048,000 from the trustee of the 401(k) plan sponsored
by Woodson Products Company, Inc., predecessor company of Woodson
Products. The checks represented funds which were to be rolled over from
the predecessor's plan to the new plan sponsored by Woodson Products.
Instead of depositing the checks in the new plan, Matthews put them in the
company's operating account and subsequently used the funds to pay
expenses of Woodson Products or affiliated companies or for his personal
benefit. |
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During the course of the U.S. Department of Labor's
investigation, Mathews restored the money to the plan and paid $149,113 in
lost earnings. The investigation was conducted by the St. Louis District
Office of the Pension and Welfare Benefits Administration. The case was
prosecuted by the United States Attorney's Office for the Eastern District
of Missouri. |
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(U.S. v. Matthews
Criminal Action No. 4:00CR528SNL) |
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U.S. Department of Labor
news releases are accessible on the Internet. The information in this news
release will be made available in alternate format upon request (large
print, Braille, audio tape or disc) from the Central Office for Assistive
Services and Technology. Please specify which news release when placing
your request. Call 202.693.7773 or TTY 202.693.7775. |
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