December 28, 2016

US Labor Department provides updated guidance on proxy voting by employee benefits plans

WASHINGTON – The U.S. Department of Labor’s Employee Benefits Security Administration announced today updated guidance for plan fiduciaries with respect to proxy voting. Specifically, the agency released Interpretive Bulletin 2016-01, which withdraws IB 2008-2 and reinstates earlier guidance related to such proxy voting, but with certain updates to clarify what the law requires of plan fiduciaries.

December 23, 2016

Suit seeks funds owed to retirement plan of Maryland company

Date of Action: Dec. 21, 2016

Type of Action: Complaint

Name(s) of Defendant(s): Larry Porter, Susan Porter, SeaBoard Management LLC, SeaBoard Management Inc., and SeaBoard Management Inc. Money Purchase Plan

December 19, 2016

New ERISA safe harbor for municipally sponsored IRAs

WASHINGTON – Increasing access to retirement savings opportunities is the surest way to help more of America’s workers secure their financial futures. Today, the U.S. Department of Labor’s Employee Benefits Security Administration is announcing a final rule to assist large cities and other political subdivisions that establish payroll deduction individual retirement account savings programs for workers who do not have access to workplace savings arrangements.

December 19, 2016

US Labor Department files lawsuit to appoint independent fiduciary to administer 401(k) plan after Los Angeles-area hotel ceased operations

Date of action: Dec. 15, 2016

Type of action: Complaint

Name of defendants: Urban Hotels Inc., doing business as LAX Plaza Hotel
Urban Hotels 401(k) Plan and Trust

December 16, 2016

US Labor Department adds important protections to ensure fairness, transparency and accuracy of disability benefits claims process

WASHINGTON – It can be challenging for workers seeking disability benefits from an employer-sponsored plan to understand the process and why their claim is approved or denied. To improve the fairness, transparency and accuracy of the disability claims process, the U.S. Department of Labor has announced a final rule requiring that plans, plan fiduciaries, and insurance providers comply with additional procedural protections when dealing with disability benefit claimants.

December 13, 2016

US Labor Department sues Coraopolis, Pennsylvania, company for abandoning 401(k) plan after ceasing operations

Date of Action: Dec. 9, 2016

Type of Action: Complaint

Name(s) of Defendant: Authorized Factory Service Inc.

Allegations: Based on an investigation conducted by the U.S. Department of Labor’s Employee Benefits Security Administration, the U.S. Secretary of Labor filed a complaint alleging:

December 12, 2016

US Labor Department sues defunct Meyersdale company to restore unremitted participant contributions to employee 401(k) retirement plan

Date of Action: Dec. 2, 2016

Type of Action: Complaint

Defendant(s): Matthew Kenneth Smith
Wind Turbine Solutions LLC
Wind Turbine Solutions LLC Retirement Trust

December 8, 2016

US Labor Department resolves lawsuit to restore $138K owed to employee benefit plan of Chicago ophthalmologist Nicholas C. Caro

Date of Action: Dec. 8, 2016

Type of Action: Employee Retirement Income Security Act lawsuit

Names of Defendants: Nicholas C. Caro
N.C. Caro M.D., S.C.
N.C. Caro M.D., S.C. Defined Benefit Plan

December 8, 2016

US Labor Secretary Perez announces new appointments, leadership for 2017 ERISA Advisory Council

WASHINGTONU.S. Secretary of Labor Thomas E. Perez today announced the appointments of five new members to the 2017 Advisory Council on Employee Welfare and Pension Benefit Plans, known as the ERISA Advisory Council. He also announced the incoming chair and vice chair of the council.

November 3, 2016

ERISA Advisory Council to present recommendations Nov. 9-10

WASHINGTON – The Advisory Council on Employee Welfare and Pension Benefit Plans, also known as the ERISA Advisory Council, will meet at U.S. Department of Labor headquarters Nov. 9-10, 2016, to finalize their recommendations and to receive an update from the Employee Benefits Security Administration.

The council has scheduled the EBSA update tentatively for the afternoon of Nov. 10.

November 1, 2016

US Department of Labor secures $866K judgment against fiduciaries of the California Pacific Bank’s employee benefit plan in San Francisco

SAN FRANCISCO – The U.S. Department of Labor has secured a judgment against San Francisco-based California Pacific Bank and four individual fiduciaries, requiring them to pay $866,840 in retirement benefits, plus interest, to employees who participated in the company’s stock ownership benefits plan.

November 1, 2016

US Labor Department releases advance copies of 2016 Form 5500 Annual Return/Report

WASHINGTON – The U.S. Department of Labor’s Employee Benefits Security Administration, the Internal Revenue Service, and the Pension Benefit Guaranty Corporation today released advance informational copies of the 2016 Form 5500 annual return/report and related instructions.

October 27, 2016

US Labor Department issues compliance guidance for employee benefit plans in wake of Hurricane Matthew, related disruptions

WASHINGTON – In light of the devastation following Hurricane Matthew, the U.S. Department of Labor’s Assistant Secretary of Labor for Employee Benefits Security Phyllis C. Borzi announced today an update on compliance with employee benefit plan rules for those adversely impacted.

October 27, 2016

US Labor Department resolves lawsuit to restore funds owed to Dell Inc. retirement plan in Monticello, Minnesota

Date of Action: Oct. 25, 2016

Type of Action: Employee Retirement Income Security Act Lawsuit

Names of Defendants: Todd Olson, Dell Inc., Dell Inc. Simple IRA Plan

October 19, 2016

US Labor Department sues Sentry Equipment Erector’s ESOP fiduciaries for failing to protect plan assets during multi-million dollar purchase of company

WASHINGTON – The U.S. Department of Labor has filed a lawsuit against the fiduciaries of a Virginia-based employee stock ownership plan, alleging the defendants failed to protect the assets of the plan as it purchased nearly $21 million in company shares from the president of Sentry Equipment Erectors Inc. who was also a trustee of the ESOP.

October 4, 2016

US Department of Labor dismisses lawsuit against Brogue, Pennsylvania, construction contractor after company restores $149K to employee 401(k) plan

Date of Action: Oct. 3, 2016

Type of Action: Order of Dismissal

Name(s) of Defendants: Tarry Bratton
B.C. Inc.
401(k) employer-sponsored retirement savings plan

September 28, 2016

Department of Labor files complaint to recover more than $29K in losses to the Weinhagen Tire Co. Inc. 401(k) Plan

Date of Action: Sept. 27, 2016

Type of Action:  Filing of Complaint

Name(s) of Defendant: Michael E. Weinhagen, Weinhagen Tire Co. Inc., Weinhagen Tire Co. Inc. 401(k) Plan

Allegations: Michael E. Weinhagen is the sole owner and president of St. Paul, Minnesota-based Weinhagen Tire Co. and the fiduciary to the Weinhagen Tire Co. Inc. 401(k) Plan. 

September 26, 2016

US Labor Department reaches settlement with Sierra Pacific Industries’ Health Benefits Plan

WASHINGTON – Fiduciaries of a health plan covering employees of a major western lumber producer have agreed to settle claims that they did not comply with the Affordable Care Act and the Employee Retirement Income Security Act when providing healthcare benefits and deciding worker claims for healthcare benefits.

September 22, 2016

US Labor Department sues Exton electrical equipment installation company to restore $166K to employees’ 401(k) retirement plan

Date of Action: Sept. 22, 2016

Type of Action: Complaint

Name(s) of Defendants: Steven Keares Inc.
Harry Keares
Steven Keares Inc. 401(k) Retirement Plan

September 21, 2016

US Labor Department sues Bridgeport Health Care Center Inc., executive for diverting nursing home retirement plan assets improperly

HARTFORD, Conn. – The U.S. Department of Labor has sued a Bridgeport nursing home and its chief officer alleging that they diverted millions of dollars from the company’s retirement plan improperly to a religious corporation and to themselves.