US Labor Department sues Northbrook, Ill.-based Family Care Management, trustees to distribute more than $124,000 in employee benefit plan assets

CHICAGO – The U.S. Department of Labor has sued now defunct Family Care Management of Northbrook and trustees Robert Kaplan, Michael Kaplan and Arnold Kaplan for allegedly failing to administer and terminate the company’s 401(k) and profit-sharing plan in violation of the Employee Retirement Income Security Act.  This situation has prevented qualified participants from obtaining distributions of their individual account balances since the company ceased operations in 2007.  At that time, the plan had 15 participants and assets totaling $124,236.

Filed in U.S. district court in Chicago, the suit seeks a court order to distribute the plan’s assets to qualified participants and to terminate the plan. It also seeks to permanently bar all three trustees from serving as fiduciaries or service providers to any ERISA-covered employee benefit plan in the future.

“It is simply wrong when employees are prevented from accessing the funds in their own accounts,” said Steve Haugen, regional director of the Labor Department’s Employee Benefits Security Administration in Chicago. “The Labor Department is committed to holding responsible those who are entrusted with the assets of workers’ retirement plans.  We will help workers obtain their rightful benefits when plan fiduciaries fail to do so.”

EBSA protects the security of the retirement, health and other workplace-related benefits of America’s workers, retirees and their families. Employers and workers can reach EBSA’s Chicago Regional Office at 312-353-0900 or toll-free at 866-444-EBSA (3272) for help with problems related to private sector retirement and health plans. Additional information can be found at www.dol.gov/ebsa.

Solis v. R. Kaplan, M. Kaplan, A. Kaplan, Family Care Management 401(k) and Profit Sharing Plan
Civil Action Number: 1:11-cv-02508

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