June 5, 2014

EBSA News Release: US Labor Department solicits nominations for 2015 ERISA Advisory Council [06/05/2014]

WASHINGTON — The U.S. Department of Labor's Employee Benefits Security Administration is soliciting nominations to fill five three-year vacancies on the Advisory Council on Employee Welfare and Pension Benefit Plans, also known as the ERISA Advisory Council. The deadline to submit nominations is Friday, Aug. 1.

June 3, 2014

EBSA News Release: US Labor Department reaches $5.25M settlement with GreatBanc Trust [06/03/2014]

WASHINGTON — The U.S. Department of Labor has reached a $5.25 million settlement with GreatBanc Trust Co. resolving department allegations that the Lisle, Illinois-based company violated the Employee Retirement Income Security Act. In 2006, GreatBanc, as trustee to the Sierra Aluminum Co. Employee Stock Ownership Plan, allegedly allowed the plan to purchase stock from Sierra Aluminum's co-founders and top executives for more than fair market value.

June 2, 2014

US Labor Department sues Wilmington, Del., construction company to recover lost employee contributions to 401(k) plan

Date of Action: May 29, 2014

Type of Action: Complaint

Name(s) of Defendant(s): Frank Robino Companies LLC, Michael Stortini, Paul Robino and Barbara Becker-Graham, and Frank Robino Companies LLC 401(k) 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 the following:

May 30, 2014

US Labor Department files suit to recover employee contributions to 401(k) plan of lumber company in Kennett Square, Pa.

Date of Action: May 22, 2014

Type of Action: Complaint

Name(s) of Defendant(s): Stephen Scott Danby, Jr., Danby Lumber and Millwork Co. Inc. and Danby Lumber and Millwork Co. Inc. 401(k) profit sharing 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 the following:

May 27, 2014

Perez v. Robert “Mack” and Sharon Durham involving judgment of Palmetto Family Medical Group P.C.’s 401(k) Profit Sharing Plan in Williamston, SC

Date of Action: April 18, 2014

Type of Action: Consent Judgment and Order

Name(s) of Defendant(s): Robert Mack Durham, Sharon Kaye Durham, Palmetto Family Medical Group Inc.

May 22, 2014

EBSA News Release: Federal judge issues consent judgment ordering Oregon realtor to repay $420,127 to profit-sharing plan, following US Labor Department investigation [05/22/2014]

PORTLAND, Ore. — Pursuant to a consent judgment entered into by the U.S. Department of Labor, Portland-based Georgetown Realty Inc., the company's owner, John Mahaffy, and the Georgetown Realty Inc. Profit Sharing Plan and Trust, will pay $420,127 to the plan for losses due to imprudent real estate investments directed by Mahaffy.

May 21, 2014

EBSA News Release: US Labor Department sues to reinstate Los Angeles union employee [05/21/2014]

LOS ANGELES — The U.S. Department of Labor has filed a lawsuit on behalf of a former Cement Masons Southern California Administrative Corp. employee who was allegedly fired for cooperating with an ongoing department investigation. The corporation managed assets for five Cement Masons employee benefits trusts in southern California.

May 20, 2014

Department of Labor Obtains Judgment to recover more than $28,000 to the Sister Rosalind Gefre Employee Retirement Plan in Minneapolis

Date of Action:  May 19, 2014

Type of Action:  Consent Order and Judgment

Names of Defendant: Sister Rosalind Gefre Schools and Clinics of Massage Inc., Peter Fahnlander and Larry Hanson, individually, and as fiduciaries to the Sister Rosalind Gefre Employee Retirement Plan.

May 19, 2014

EBSA News Release: US Labor Department's ERISA Advisory Council holds public meeting June 17-19 [05/19/2014]

WASHINGTON — The U.S. Department of Labor's Advisory Council on Employee Welfare and Pension Benefit Plans, also known as the ERISA Advisory Council, will meet Tuesday, June 17, through Thursday, June 19. The three-day meeting will take place at the U.S. Department of Labor, 200 Constitution Ave. NW, Washington, D.C. 20210. On June 17 and 19, the meeting will take place in C-5320, Room 6. On June 18, the meeting will take place in C-5521, Room 4. The meeting will be held from 9:00 a.m.

May 13, 2014

US Labor Department files suit to appoint independent fiduciary to distribute assets of Tincher Chevrolet Oldsmobile 401(k) Plan in Plattsmouth, Neb.

Date of Action: May 8, 2014

Type of Action: Complaint

Names of Defendant: Mark Tincher, Tincher Chevrolet Oldsmobile 401(k) Plan

Allegations: An investigation by the Employee Benefits Security Administration found that Tincher, who was trustee and sole owner of the company, failed to administer the plan and provide written authorization to allow distribution or rollover of the plan’s participant accounts after Tincher Chevrolet Oldsmobile ceased operations in July 2011.

The Plan has assets of $183,146.48 and five eligible participants.

May 9, 2014

Judge orders independent fiduciary to terminate employee benefit plan of Clifford Replacement Windows & Siding and distribute assets

Clifford Replacement Windows & Siding and distribute assets

Date of Action: April 9, 2014

Type of Action: Consent Judgment

Names of Defendant: Timothy J. Clifford, Jr., Patrick D. Clifford, Clifford Replacement Windows & Siding, Inc., CRW Inc. 401(k) Plan in Mount Prospect, Ill.

May 7, 2014

US Department of Labor files suit to recover more than $33,000 for employment benefits plan of Remodel King Construction in Rapid City, SD

Employment Benefits Plan of Remodel King Construction in Rapid City, SD

Date of Action: May 6, 2014

Type of Action: Complaint

Names of Defendant: Remodel King Construction Inc., Scott D. Sogge, Remodel King Construction Inc. SARSEP Plan

May 6, 2014

US Department of Labor obtains consent judgment ordering trustees of Western Steel Erection 401(k) Plan to restore more than $5,900 in benefits

Western Steel Erection 401(k) Plan to restore more than $5,900 in benefits

Date of Action: May 6, 2014

Type of Action: Consent Judgment and Order

Names of Defendant: Stephanie J. Jochims and Robert C. Jochims

Allegations: The U.S. Department of Labor has obtained a consent judgment ordering Stephanie J. Jochims, the former owner of Western Steel Erection, Inc., and her husband Robert C. Jochims, to restore $5,957 in employee retirement contributions and loan repayments to the Western Steel Erection 401(k) Plan. The company was located in Long Lake, Minn.

May 2, 2014

EBSA News Release: Administration announces proposal to clarify availability of Health Insurance Marketplace coverage to workers eligible for COBRA [05/02/2014]

WASHINGTON — The Obama administration today announced updates to model notices informing workers of their eligibility to continue health-care coverage through the Consolidated Omnibus Budget Reconciliation Act. The updates make it clear to workers that if they are eligible for COBRA continuation coverage when leaving a job, they may choose to instead purchase coverage through the Health Insurance Marketplace.

May 1, 2014

Perez v. Timothy A. Clark, et. al., involving 401(k) plan of Enola, Pa., medical practice

Date of Action: April 22, 2014

Type of Action: Consent Judgment

Name(s) of Defendant(s): Timothy A. Clark, Central Pennsylvania Pulmonary Associates LLC and Central Pennsylvania Pulmonary Associates LLC 401(k) plan

May 1, 2014

US Labor Department files suit against Pro Systems Corp. Group Health Plan for Failing to Disclose Use of Health Care Fees Charged to its Clients

Pro Systems Corp. Group Health Plan

Date of Action: April 29, 2014

Type of Action: Complaint

Names of Defendant: Pro Systems Corp., Pro Resources Corp., MICROPRO Inc., James Piche, Michael Brodsho, Pro Systems Corporation Group Health Plan 

May 1, 2014

Perez v. Samuel McCutchin, et al., involving default judgment of Upper Darby, Pa., heating company

Date of Action: April 16, 2014

Type of Action: Default Judgment

Name(s) of Defendant(s): Samuel McCutchin, Cynthia Lindenman, Snyder Heating Co., and Snyder Heating Co. 401(k) plan

Allegations: Based on an investigation conducted by the U.S. Department of Labor’s Employee Benefits Security Administration, on Sept. 19, 2013, the Secretary of Labor filed a complaint alleging as follows:

April 30, 2014

Perez v. Aubrey Needham involving imprudent investments causing losses to the Ditch Witch Equipment of Tennessee Inc. Profit-Sharing Plan

Date of Action: April 29, 2014

Type of Action: Complaint

Names of Defendants: Ditch Witch Equipment of Tennessee Inc., Aubrey Needham and the Ditch Witch Equipment of Tennessee Inc. Profit-Sharing Plan

April 24, 2014

US Department of Labor obtains court order freezing 401(k) fiduciary's account

SEATTLE — The U.S. Department of Labor has obtained a court order from the U.S. District Court for the Western District of Washington that temporarily freezes the account balance of Brenda Lukas-Jones, former president of Lukas Machine Inc., in the company's 401(k) profit sharing plan and trust. On April 14, the department filed a complaint against Lukas Machine Inc., Lukas-Jones and others, alleging that they had violated the Employee Retirement Income Security Act between April 2008 and October 2011, causing more than $41,000 in losses to the 401(k) plan.

April 24, 2014

EBSA News Release: US Department of Labor obtains court order freezing 401(k) fiduciary's account [04/24/2014]

SEATTLE — The U.S. Department of Labor has obtained a court order from the U.S. District Court for the Western District of Washington that temporarily freezes the account balance of Brenda Lukas-Jones, former president of Lukas Machine Inc., in the company's 401(k) profit sharing plan and trust. On April 14, the department filed a complaint against Lukas Machine Inc., Lukas-Jones and others, alleging that they had violated the Employee Retirement Income Security Act between April 2008 and October 2011, causing more than $41,000 in losses to the 401(k) plan.