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US Department of Labor sues Quality Tool and Machine Inc. and president to restore more than $9,000 to SIMPLE IRA plan
SPARTA, Wis. – The U.S. Department of Labor has sued Quality Tool and Machine Inc. of Sparta and the company’s president, Jerry Freimuth, for allegedly failing to forward $9,672 in employee contributions to the company’s savings incentive match plan for employees individual retirement account, or SIMPLE IRA plan, in violation of the Employee Retirement Income Security Act.
The lawsuit, filed in the U.S. District Court in Madison, Wis., alleges Freimuth and the company failed to forward the voluntary employee contributions to the company’s SIMPLE IRA plan for the period of March 10, 2003, through Dec. 30, 2008.
“Our legal action underscores the Labor Department’s commitment to hold accountable those who are entrusted with the assets of workers’ retirement plans,” said Steve Haugen, regional director of the department’s Employee Benefits Security Administration in Chicago, Ill. “We will continue to help workers obtain their rightful benefits when plan fiduciaries violate the law.”
The suit seeks a court order to require repayment of losses with interest to the plan and to permanently bar Freimuth from serving as a fiduciary or service provider to any ERISA-covered employee benefit plan in the future.
This case is part of EBSA’s employee contribution project to safeguard workers’ contributions to 401(k) and health benefit plans. Employers and workers can reach EBSA’s Chicago Regional Office at 312-353-0900 or toll-free at 866-444-3272 for help with problems related to private sector retirement and health plans. Additional information can be found at http://www.dol.gov/ebsa.
Solis v. Freimuth, Quality Tool and Machine Inc.
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