EBSA News Releases

June 19, 2019

U.S. Department of Labor Obtains Consent Order and Judgment To Restore Assets to Participants in Jackson, Michigan, Retirement Plan

JACKSON, MI – The U.S. Department of Labor has obtained a consent order and judgment requiring the fiduciaries of the DJI & Associates Inc. Simple Plan to restore $68,539 to the Jackson, Michigan-based employee benefit plan.

June 19, 2019

Louisiana Couple Pleads Guilty to Operating Fraudulent Multiple Employer Welfare Arrangement

NEW ORLEANS, LA – The U.S. District Court for the Eastern District of Louisiana accepted the guilty pleas of The Total Financial Group (TTFG) and its owners – Denis J. Joachim and Donna K. Joachim – after investigations by multiple government agencies – including the U.S. Department of Labor's Employee Benefit Security Administration (EBSA) and Office of Inspector General (OIG) – found Covington, Louisiana-based TTFG and the Joachims created, marketed, and operated a fraudulent multiple employer welfare arrangement (MEWA).

June 19, 2019

Former Ohio Labor Union Official Sentenced to Year in Prison after Pleading Guilty to Embezzling from Heat and Frost Insulators and Allied Workers, Local 84

YOUNGSTOWN, OH – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA) and Office of Inspector General, U.S. District Court Judge Benita Y. Pearson of the Northern District of Ohio, Eastern Division in Youngstown, Ohio, has sentenced former union official Terry Doan to one year in prison, followed by three years of probation. The court also ordered him to pay $195,446 in restitution to the Joint Apprenticeship Training Committee of the Heat and Frost Insulators and Allied Workers, Local 84 in Kent, Ohio.

June 13, 2019

U.S. Departments of Health and Human Services, Labor, and the Treasury Expand Access to Quality, Affordable Health Coverage Through Health Reimbursement Arrangements

WASHINGTON, DC – Today, the U.S. Departments of Health and Human Services, Labor, and the Treasury issued a new policy that will provide hundreds of thousands of employers, including small businesses, a better way to provide health insurance coverage, and millions of American workers more options for health insurance coverage. The Departments issued a final regulation that will expand the use of health reimbursement arrangements (HRAs).

May 16, 2019

Six New Members Appointed to the 2019 ERISA Advisory Council

WASHINGTON, DC – Today the U.S. Department of Labor announced the appointments of six new members as well as chair and vice chair to the 2019 Advisory Council on Employee Welfare and Pension Benefit Plans, known as the ERISA Advisory Council.

May 2, 2019

U.S. Department of Labor Obtains Consent Order and Judgment To Distribute Assets to Participants of Ohio Retirement Plan

FREMONT, OH – After an investigation by the U.S. Department of Labor’s Cincinnati office of the Employee Benefits Security Administration (EBSA), the Department of Labor has obtained a consent order and judgment requiring the fiduciaries of Fremont, Ohio-based Techniform Industries Inc. 401(k) Plan to restore $23,716 to the plan and pay a penalty of $4,743 for violations of the Employee Retirement Income Security Act (ERISA).

April 29, 2019

U.S. Department of Labor Statement Relating to the U.S. District Court Ruling in State of New York v. United States Department of Labor

WASHINGTON, DC - The U.S. Department of Labor today released a policy statement regarding Association Health Plans (AHPs). The Department disagrees with the district court's ruling in The State of New York v. United States Department of Labor. The U.S. Department of Justice filed an appeal on April 26, 2019. 

April 26, 2019

Federal Court Allows Payment of Outstanding Health Care Claims For Employees of Bankrupt Home Owners Bargain Outlet

CHICAGO, IL – The U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, granted a motion allowing Morgan Administration Inc. and associated debtors doing business as Home Owners Bargain Outlet (HOBO), to engage Paradigm Health Plans, the approved third-party administrator, to reconcile and administer outstanding medical claims for employees participating in HOBO's health plan.

April 8, 2019

Federal Court Orders Illinois Business Owner to Pay $1,439,678, in Restitution, Serve 5 Years in Prison for Fraud Involving Investors’ Savings

CHICAGO, IL – The U.S. District Court for the Northern District of Illinois has sentenced Lake County, Illinois-based business owner Richard Booy, to serve five years imprisonment followed by an additional three years of supervised release, and to make $1,439,678 million in restitution for defrauding his clients in a Ponzi-type scheme totaling approximately $2 million. As a result of the the March 18, 2019 sentencing, Booy is statutorily barred from serving as a fiduciary under the Employee Retirement Income Security Act (ERISA).

March 22, 2019

U.S. Department of Labor Obtains Consent Judgment and Order Protecting Participants and Beneficiaries of Failing MEWA

LOS ANGELES, CA – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), the U.S. District Court for the Central District of California has entered a consent judgment against the individual defendants of a failing California-based Multiple Employer Welfare Arrangement (MEWA) in a Department lawsuit aimed at protecting more than 16,000 participants and beneficiaries.

March 6, 2019

U.S. District Court Sentences Investment Advisor to Prison and Orders Payment of $1,636,604 in Restitution for Pension Fraud

WEST PALM BEACH, FL – After a U.S. Department of Labor Employee Benefits Security Administration (EBSA) investigation of a multi-million dollar pension trust fraud, the U.S. District Court for the Southern District of Florida has sentenced William H. Minor to 41 months in prison, three years of supervised release, a special assessment of $100, and ordered him to pay $1,636,604 restitution.

February 13, 2019

Court Sentences Founders of Laboratory Marketing Companies After U.S. Department of Labor Uncovers Healthcare Fraud

WEST PALM BEACH, FL – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), the U.S. District Court for the Southern District of Florida has sentenced one co-founder of several Florida laboratory marketing companies and substance abuse recovery homes to prison and two other co-founders to probation for their parts in a widespread healthcare fraud scheme.

February 12, 2019

Former Substance Abuse Recovery Center Director Sentenced to Prison After U.S. Department of Labor Finds Healthcare Fraud Scheme

MIAMI, FL – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), the U.S. District Court for the Southern District of Florida has sentenced Tina Marie Barbuto – a former licensed mental health counselor in Margate, Florida – to serve 36 months in prison followed by 36 months of supervised release. Additionally, Barbuto will pay $3,132,806 in restitution and a $100 special assessment for her role in a conspiracy to commit healthcare fraud.

February 11, 2019

U.S. Department of Labor Obtains Temporary Restraining Order To Protect Participants and Beneficiaries of Failing MEWA

LOS ANGELES, CA – The U.S. Department of Labor has obtained a temporary restraining order in the U.S. District Court for the Central District of California against Riverstone Capital LLC; NexGen Insurance Services Inc.; and NGI Brokerage Services Inc. (collectively, “Riverstone”) and the individuals that operate it.

February 7, 2019

Court Sentences Lansing, Michigan, Resident to Jail, Orders $48,285 In Restitution for Theft of Mother’s General Motors’ Employee Pension

LANSING, MI – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), and the 30th Circuit Court for Ingham County, Michigan, the Michigan Circuit Court for Ingham County has sentenced Allen G. Ollenburger – a resident of Lansing, Michigan – to serve 45 days in Jail, 60 months' probation, and ordered him to make $48,285 in restitution after he pleaded guilty to cashing General Motors' pension checks issued to his deceased mother.

February 1, 2019

California Dockworkers Union Member Sentenced After U.S. Department of Labor Uncovers Healthcare Fraud Scheme

LOS ANGELES, CA – After an investigation by the U.S. Department of Labor’s Employee Benefits Security Administration (EBSA), the U.S. District Court for the Central District of California has sentenced Sergio Amador – a member of the International Longshore and Warehouse Union (ILWU), Local 13 – to 12 months and one day in prison and ordered him to make $201,000 in restitution for defrauding the union’s Welfare Plan.

January 31, 2019

Federal Court Sentences Former Autoworkers’ Union Official After Guilty Plea for Health and Welfare Fund Embezzlement

NEW YORK – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), the U.S. District Court for the District of New Jersey has sentenced Sergio Acosta – the former president and a representative of United Auto Workers Local 2326 in Edison, New Jersey – to three years of probation, and ordered him to pay $32,000 in restitution for embezzling funds from the union's employee benefit plan.

January 25, 2019

U.S. Department of Labor Provides Compliance Assistance Resources to Secure Employee Benefits

WASHINGTON, DC – The U.S. Department of Labor's Employee Benefits Security Administration (EBSA) hosts a variety of seminars across the country and webcasts in order to enhance understanding of the Employee Retirement Income Security Act of 1974.

January 23, 2019

U.S. Department of Labor Enters into Consent Judgment Permanently Enjoining Former Chief Financial Officer after Pension Plan Mishandling

MIAMI, FL – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), the U.S. District Court for the Southern District of Florida entered a consent judgment and order between the U.S. Department of Labor and Kevin F. Kirkeide, a former chief financial officer for IOTC Financial Services LLC and Global Oil Financial Services LLC – both based in Boca Raton, Florida.

January 18, 2019

Palm Beach Gardens Man Sentenced in Healthcare Fraud Scheme After U.S. Department of Labor Investigation

MIAMI, FL – After an investigation by the U.S. Department of Labor's Employee Benefits Security Administration (EBSA), the U.S. District Court for the Southern District of Florida has sentenced Lanny Todd Fried – of Palm Beach Gardens, Florida – to 57 months in prison and 36 months of supervised release; and ordered him to pay a $81,163 fine for his role in a healthcare-related, money-laundering scheme.