Date of Action: April 17, 2015
Type of Action: Complaint and Consent Judgment
Name(s) of Defendant(s): Robert W. Lewis, Kristie L. McDonald, Enterworks Inc. and Enterworks Inc. Shared Savings Plan
Allegations: Based on an investigation conducted by the U.S. Department of Labor’s Employee Benefits Security Administration, the Secretary of Labor filed a complaint alleging:
Enterworks Inc. established a shared savings plan for its employees in 2000, funded by elective employee contributions. Lewis, McDonald and the company served as plan fiduciaries. EBSA investigators found that between Jan. 9, 2009 and Dec. 21, 2012, the defendants failed to ensure that employee contributions and plan loan repayments were remitted to the plan in a timely manner.
Resolution: On April 17, the court ordered Lewis, McDonald and the company to restore delinquent employee contributions and loan repayments totaling $257,516 to the plan, including lost opportunity costs. The court also ordered the forfeiture of Lewis’ and McDonald’s account balances and sums owed to them as a result of their failure to remit employee contributions and loan repayments to the plan. Further, Lewis an McDonald were permanently enjoined from serving as fiduciaries to any ERISA-covered plan.
Court: United States District Court for the Eastern District of Virginia
Docket Number: 1:15-cv-00474-IDD/RGA
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