News Brief

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US Department of Labor files suit to restore losses to employee benefit plan of Raydar Inc. in Odon, Indiana

Date of Action: October 8, 2014

Type of Action: Complaint

Name of Defendant: Raydar Inc., formerly known as Raydar & Associates Inc., Raydar & Associates Inc. Safe Harbor 401(k) Plan

Allegations: Raydar Inc. was the plan sponsor of the Raydar & Associates Inc. Safe Harbor 401(k) Plan. During the period from Jan. 1, 2008, through Nov. 12, 2010, Raydar withheld $61,098, from its employees' pay in participant contributions to the Plan and failed to remit the amounts to the Raydar & Associates Inc. Safe Harbor 401(k) Plan. Raydar retained the withheld contributions in its corporate account in violation of the Employee Retirement Income Security Act.

As of Dec. 31, 2013, the plan had $661,072 in assets and 47 participants.

Resolution: The complaint seeks an order requiring Raydar Inc. to correct the prohibited transactions in which it engaged, restore to the plan all losses, including lost opportunity costs, resulting from fiduciary breaches and permanently enjoin the company from violating the provisions of ERISA in the future.

Court: U.S. District Court for the Southern District of Indiana, Evansville, Ind.

Docket Number: 1:14-cv-01644-TWP-DML

Employers and workers can reach EBSA's toll-free at 866-444-3272 for help with problems relating to private-sector retirement and health plans. Additional information can be found at http://www.dol.gov/ebsa.

U.S. Department of Labor materials are accessible at www.dol.gov. The information above is available in large print, Braille, audio tape or disc from the COAST office upon request by calling (202) 693-7828 or TTY (202) 693-7755.

EBSA & ECAB News Brief: 
10/08/2014
Release Number: 
14-35-CHI