U.S. Department of Labor sues former Cookeville, Tennessee, firm to give 401(k) participants access to retirement funds

Atlanta – The U.S. Department of Labor has sued Renewable Resources Inc. of Cookeville, Tennessee, for failing to fulfill its fiduciary duties to participants covered by the Renewable Resources Inc. Profit Sharing Plan and Trust.

The lawsuit, filed in the U.S. District Court for the Middle District of Tennessee, alleges that the company failed to terminate its 401(k) plan and distribute assets to eligible participants after the company ceased operations. As a result, participants were unable to receive information about and access to their funds.

The suit asks the court to appoint an independent fiduciary to terminate the plan and distribute its assets.

“The Labor Department will step in to protect the rights of plan participants when the fiduciary fails to make provisions for the orderly distribution of assets from its discontinued retirement plan,” said R.C. Marshall, regional director of the department’s Employee Benefits Security Administration (EBSA) office in Atlanta.

Renewable Resources Inc. was a re-manufacturer of computer printer and toner cartridges.

This case resulted from an investigation conducted by EBSA’s office in Atlanta. Employers and workers can reach EBSA’s Atlanta Regional Office at 404.302.3900 or toll-free at 866.444.3272 for help with problems relating to private sector retirement and health plans.

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.

Secretary of Labor v. Renewable Resources Inc.
(Civil Action Number 3:09-cv-00148)

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