Former Ohio Executive Sentenced For Embezzling 401(K) Assets

Archived News Release — Caution: Information may be out of date.

An Ohio federal court today sentenced an executive of Columbus-based Buckeye Technical Services, Inc. to two years of probation and 80 hours of community service.

William Robert Kugel was sentenced after pleading guilty on November 18, 1999 to one count of embezzling $3,241 from the company’s 401(k) pension plan. The former director of operations for the company, Kugel converted the pension funds to his own use in May and June of 1994 in violations of the Employee Retirement Income Security Act (ERISA).

ERISA is a federal law governing the operations of pension, health and other employee benefit plans sponsored by private-sector employers. The Cincinnati Regional Office of the Labor Department’s Pension and Welfare Benefits Administration conducted the investigations into alleged violations involving the 401(k) plans. The case was prosecuted by the U.S. Attorney’s Office in Columbus, Ohio.

Joseph Menez, PWBA Regional Director, said, “This criminal action reaffirms our commitment to protect hard-earned benefits of workers by ferreting out criminal activity against plans wherever and whenever it occurs. Workers also can help us protect plan benefits by contacting our office at 606-578-4680 about any suspected abuse of their pension, health or other benefit plans.”

(U. S. v. Kugel)

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Archived News Release — Caution: Information may be out of date.