Solis v. James T. Ledford and Davis Equipment Sales & Service, Inc. involving unremitted employee contributions

Date of Action: Oct. 27, 2011

Type of Action: Complaint

Names of Defendant: James T. Ledford, Davis Equipment Sales & Service, Inc., and the Davis Equipment Sales & Service, Inc., Savings Incentive Match Plan for Employees Individual Retirement Accounts Plan located in Salem, Ind.

Allegations: Ledford and Davis Equipment, in their capacities as fiduciaries to the Davis Equipment Sales & Service, Inc. SIMPLE IRA Plan, failed to ensure that $19,826.68 in employee pre-tax contributions for the period March 13, 2008, through Dec. 31, 2009, were remitted to the SIMPLE IRA Plan. The fiduciaries also failed to ensure that employee pre-tax contributions were timely remitted to the SIMPLE IRA Plan for the period Jan. 4, 2006, through Feb. 28, 2008.

Resolution: The Department of Labor is seeking injunctive relief permanently enjoining Ledford and the company from violating any provisions of Title I of ERISA; barring Ledford from serving as a fiduciary or service provider to any ERISA plans; the payment of the delinquent employee contributions plus all interest owed to the plan for the unremitted and untimely remitted employee contributions; and the offsetting of Ledford’s individual plan account to cover any losses resulting from his fiduciary breaches if he does not otherwise restore the losses to the plan.

Court: United States District Court for the Southern District of Indiana, New Albany, Ind.
Docket Number: 4:11-cv-0125

U.S. Department of Labor materials are accessible at www.dol.gov.  The information above is available in large print, Braille, audio tape or disc from the COAST office upon request by calling 202-693-7828 or TTY 202-693-7755.