U.S. Labor Department obtains appointment of independent trustee for abandoned 401(k) plan

Archived News Release — Caution: Information may be out of date.

Macedonia, Ohio - The U.S. Department of Labor obtained a default judgment from a federal district court appointing an independent fiduciary to manage and close down the abandoned 401(k) profit-sharing plan of D.L. French Co. Inc. in Macedonia and distribute its assets to participants and beneficiaries.

The judgment requires that the independent fiduciary terminate and distribute the assets of the savings plan to qualified participants or beneficiaries. The company ceased operations in January 2005 when the plan had 11 participants and $8,495 in assets. D.L. French Co. primarily manufactured water manifolds for the plastics industry.

“When a plan is abandoned, so are the workers who invested in it,” said Joseph Menez, Cincinnati-based regional director for the Labor Department’s Employee Benefits Security Administration (EBSA). “The department took this legal action so that the plan will be properly administered, and its participants can access the funds that rightly belong to them.”

The suit resulted from an investigation conducted by EBSA’s Cincinnati Regional Office. Employers and workers can contact that office at 859.578.4680 or toll-free at 1.866.444.EBSA (3272) for help with any problems relating to private sector pension and health plans.

Chao v. French
Civil Action Number 5:06-cv-01902

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Archived News Release — Caution: Information may be out of date.