U.S. Department of Labor sues Mondsview, Minnesota, trucking company for abandoning profit-sharing and 401(k) plan

Archived News Release — Caution: Information may be out of date.

Mondsview, Minnesota – The U.S. Department of Labor has sued Hyman Freightways Inc., formerly located in Mondsview, for allegedly abandoning its profit-sharing and 401(k) plan in violation of the Employee Retirement Income Security Act after the company ceased operations in October 1997.

The Labor Department is asking the federal district court in Minneapolis to appoint an independent fiduciary to terminate the plan and distribute its assets to participants and beneficiaries. As of March 19, 2008, the trucking company’s plan had 14 participants and assets totaling $164,251.32, the latest data available.

“There can be no excuse for failing to complete the promise inherent in any retirement plan offered to working people, and this department will take the necessary measures to be certain those funds are delivered to their owners,” said Steve Eischen, regional director of the Labor Department’s Employee Benefits Security Administration (EBSA) in Kansas City, Missouri.

In fiscal year 2008, EBSA achieved monetary results of $1.2 billion related to pension, 401(k), health and other benefits for millions of American workers and their families. Employers and workers with questions or concerns regarding their private-sector pension and health plans can contact the regional office in Kansas City at 816.285.1800 or toll free at 866.444.3272. Information is also available from EBSA’s Web site at www.dol.gov/ebsa.

Chao v. Hyman Freightways Inc.
Civil Action Number: 08-cv-06360

U.S. Department of Labor news releases are accessible on the Department's Newsroom page. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at 202.693.7828 or TTY 202.693.7755. The Labor Department is committed to providing America's employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit the Department's Compliance Assistance page.

Archived News Release — Caution: Information may be out of date.