Judge orders fiduciary Ronald Bloomgren to restore more than $19,000 to the Earmold Design, Inc. 401(k) Savings Plan in Minneapolis, Minn.

Date of Action: Oct. 15, 2012

Type of Action: Judgment

Name of Defendants: Ronald Bloomgren, individually and as a fiduciary to the Earmold Design 401(k) Savings Plan

Allegations: The complaint alleged that from Jan. 4, 2008, through July 21, 2010, Bloomgren, in his fiduciary capacity, failed to ensure that employee contributions totaling $10,642.36 and loan repayments totaling $6,804 were remitted to the Earmold Design 401(k) Savings Plan. In addition, from Jan. 1, 2008, through Nov. 19, 2009, Bloomgren failed to ensure that $15,900.42 in participant contributions and $7,396 in loan repayments were timely remitted to the Plan. Bloomgren is the sole owner of Earmold Design.

Resolution: Bloomgren has been ordered to immediately pay $19,927.62 to restore all losses suffered by the plan as a result of his fiduciary breaches and prohibited transactions, including payment of lost opportunity costs resulting from fiduciary breaches. Bloomgren has also been permanently enjoined from serving as a fiduciary to any ERISA-covered employee benefit plan.

Court: United States District Court, District of Minnesota, Minneapolis, Minn.

Docket Number: 12-cv-01557

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