Labor Department Secures Appointment of Independent Fiduciary for Abandoned Delaware Retirement Plan

Archived News Release — Caution: Information may be out of date.

Philadelphia, Pennsylvania - The U.S. Department of Labor has obtained a federal court order appointing Jacqueline Carmichael as independent fiduciary to replace IT Factory Solution Inc. as administrator for the Solutions by Design money purchase plan. Both entities are defunct Delaware corporations.

“Our legal action demonstrates the Department of Labor’s commitment to protect worker retirement benefits,” said Mabel Capolongo, Philadelphia regional director of the Labor Department’s Employee Benefits Security Administration (EBSA).

IT Factory Solutions abandoned the plan when it ceased operations in December 2001, leaving it with no fiduciary to administer its operation and administration.

The department filed suit against IT Factory Solutions in the U.S. District Court for the District of Delaware. Carmichael will administer the Solutions by Design plan, distribute assets to participants and beneficiaries and implement its orderly termination.

As of February 2005, the plan had 68 participants and $1,040,908 in assets.

In fiscal year 2005, EBSA achieved monetary results of $1.7 billion related to the pension, 401(k), health and other benefits for millions of American workers and their families. Employers can reach EBSA’s Washington, D.C. district office at 301.713.2000 or contact EBSA’s toll-free number, 1.866.444.EBSA (3272), for help with problems relating to private-sector retirement and health plans.

(Chao v. IT Factory Solution, Inc.)
Civil Action No.: 05-843 (GMS)

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Archived News Release — Caution: Information may be out of date.

Contact Name: Leni Uddyback-Fortson
Phone Number: 215.861.5102