September 23, 2022

US Department of Labor investigation, litigation result in settlement requiring InterArch Inc. fiduciaries to pay more than $2M

MOORESTOWN, NJ – The fiduciaries of an international design firm in Moorestown must pay more than $2 million to restore mismanaged assets to the company’s retirement plan and in penalties after the U.S. Department of Labor agreed to a settlement following an investigation and litigation.

September 14, 2022

US Department of Labor seeks nominations for 2023 ERISA Advisory Council

WASHINGTON – The U.S. Department of Labor’s Employee Benefits Security Administration is seeking nominations to fill five, three-year vacancies on the Advisory Council on Employee Welfare and Pension Benefit Plans, known as the ERISA Advisory Council. Nominations must be submitted by Oct. 3, 2022.

September 12, 2022

US Department of Labor recovers $131.8M for Wells Fargo 401(k) participants after investigation finds plan overpaid for company stock

WASHINGTON – The U.S. Department of Labor today announced a settlement with Wells Fargo and Company and Wells Fargo Bank and GreatBanc Trust Company – a plan trustee – that recovers more than $131.8 million for the retirement plan’s participants after a department investigation found that, from 2013 through 2018, the fund overpaid for company stock purchased for the plan.

September 9, 2022

Federal judge approves order for owner of Chicago-area real estate company to restore losses after Department of Labor investigation finds funds misappropriated

CHICAGO – Following a U.S. Department of Labor investigation, a federal court has approved an order requiring the president and owner of a Chicago-area real estate company to restore financial losses to participants after he misappropriated funds from the company’s cash balance pension and profit-sharing plans.

September 8, 2022

READOUT: Secretary Marty Walsh, mental health advocates meet to discuss access to health services, treatment, supportive workplaces

WASHINGTON – Secretary of Labor Marty Walsh met with leading mental health advocacy groups, health care professional associations and other stakeholders today in Washington to discuss workers’ access to mental health services, treatment and supportive workplaces.

September 6, 2022

US Department of Labor will hold hearing on proposed amendment to the Qualified Professional Asset Manager Exemption

WASHINGTON – The U.S. Department of Labor’s Employee Benefits Security Administration today announced that it will hold an online public hearing on the proposed amendment to its Class Prohibited Transaction Exemption 84-14, also known as the Qualified Professional Asset Manager Exemption. The department is also extending the public comment period for the proposed amendment for an additional 15 days, through Oct.

September 2, 2022

US Department of Labor sues former hospital CEO who failed to forward plan contributions, caused cancellation of employees’ health insurance

WILLIAMSON, WV – The U.S. Department of Labor has taken legal action after an investigation by its Employee Benefits Security Administration found the former CEO of a West Virginia hospital, who was a fiduciary of the company’s healthcare plan, failed to forward contributions to the plan. This led to the plan’s cancellation and left participating employees with a significant number of unpaid claims – and without health coverage.

September 2, 2022

US Department of Labor updates Interpretive Bulletin on independence requirement for accountants auditing employee benefit plans

WASHINGTON – The U.S. Department of Labor's Employee Benefits Security Administration today announced the release of Interpretive Bulletin 2022-01 updating its guidance on the “independence” requirement for accountants who audit employee benefit plans under section 103(a)(3)(A) of the Employee Retirement Income Security Act. 

August 19, 2022

US Departments of Labor, Health and Human Services, Treasury issue final rules to clarify federal process to protect against surprise billing

WASHINGTON – The U.S. Departments of Labor, Health and Human Services, and the Treasury today issued final rules concerning standards related to the arbitration process implementing the No Surprises Act, a bipartisan law to protect consumers against surprise medical bills.

August 3, 2022

Trustees agree to reform New York Teamsters welfare fund to come into compliance with federal laws

NEW YORK Trustees to the Teamsters Local 272 Welfare Fund in New York City have agreed to amend the fund to resolve a lawsuit filed by the U.S. Department of Labor, regarding a fund requirement that participants bear 90 percent of the cost of medical and pharmacy claims above certain annual thresholds.

July 26, 2022

US Department of Labor proposes amendment to Qualified Professional Asset Manager Exemption to protect benefits plans, participants, beneficiaries

WASHINGTON The U.S. Department of Labor’s Employee Benefits Security Administration today announced a proposed amendment to the Class Prohibited Transaction Exemption 84-14, also known as the Qualified Professional Asset Manager Exemption, to ensure the exemption continues to protect plans, participants and beneficiaries, individual retirement account owners and their interests.

July 11, 2022

Ohio resident sentenced to six months in prison, ordered to repay $254,116 in stolen pension funds, Social Security benefits

COLUMBUS, OHIO – A federal judge sentenced Cindy Hardway – a Newark, Ohio resident – to six months in prison on July 8, 2022, after she pleaded guilty to one count of theft of public money and one count of theft or embezzlement from an employee benefit plan. Hardway’s guilty plea comes after she collected $254,116 from her deceased father’s pension fund and Social Security following his death in 2005.

June 27, 2022

Federal court sentences Florida addiction recovery doctor to prison, to pay $31.3M in restitution after submitting $106M in fraudulent benefits claims

WEST PALM BEACH, FL – A federal court in Miami has sentenced the former medical director of a West Palm Beach residential addiction recovery center to prison and ordered more than $31 million in restitution paid as part of a healthcare scheme to obtain reimbursement for $106 million in false claims to more than 80 private insurance companies and federal healthcare benefit programs.

June 10, 2022

Federal court sentences former Wisconsin union president who embezzled $219K from employee benefit plan, union funds to 8 months home confinement

MILWAUKEE – A federal judge has sentenced the former president of the International Longshoremen’s Association Local 1295 – a dockworkers’ union known as the Milwaukee Grain Trimmers – to home confinement of 240 consecutive days, 2 years of probation, ordered to pay a $200 special assessment and $219,000 in restitution to the union and its employee benefit plan.

June 8, 2022

Court sentences Ohio businessman to 2 years in prison for failing to forward federal payroll taxes, stealing workers’ healthcare contributions

CLEVELAND, OH – A North Royalton businessman who failed to pay payroll taxes to the IRS and embezzled health care premiums deducted from his employees’ checks, will spend the next two years in prison and pay restitution of $558,697 to the IRS and $3,807 to the participants of his companies’ health care plan.

June 6, 2022

Federal court sentences Florida pharmacy owner to pay $865K in restitution after US Department of Labor finds healthcare fraud

CLEARWATER, FL – Following a U.S. Department of Labor investigation, the U.S. District Court for the Western District of Kentucky has sentenced Nitesh Patel to serve 12 months’ probation, including 12 months of home confinement following his Nov. 3, 2021, guilty plea to one count of conspiracy to commit healthcare fraud.

May 23, 2022

US Department of Labor obtains consent judgment directing Baltimore company, owner to restore $148K to 401(k) plan

BALTIMORE – A federal court in Maryland has entered a consent judgment requiring a Baltimore logistics, engineering and management support company and its owner to restore $148,852 in missing contributions and interest to its 401(k) plan.

May 20, 2022

US Department of Labor releases Final Rule on changes for the 2022 Form 5500 Series Annual Return/Report

WASHINGTON The U.S. Department of Labor’s Employee Benefits Security Administration, the IRS and the Pension Benefit Guaranty Corp. today released a Federal Register Notice announcing changes to the Form 5500 Annual Return/Report of Employee Benefit Plan and Form 5500-SF Short Form Annual Return/Report of Employee Benefit Plan, and related instructions, that apply beginning with 2022 plan year reports.