Solis v. Surplus Asset Sales Co. Inc. US Department of Labor obtains default judgment to appoint independent party to distribute workers’ retirement monies for defunct Montgomeryville, Pa., company

Date of Action: Dec. 12, 2012

Name(s) of Defendants: Surplus Asset Sales Co. Inc.
 
Allegations: On Sept. 14, 2012, the Secretary of Labor filed a complaint in the U.S. District Court for the Eastern District of Pennsylvania against Surplus Asset Sales Co. Inc. alleging multiple violations of the Employee Retirement Income Security Act of 1974.  The complaint alleged that since late 2009, the defendant ceased operations and failed to appoint an administrator for The Surplus Asset Sales, Co., Inc. 401(k) Plan.  Under the terms of the plan, participants were entitled to receive plan distributions upon their termination from the company’s employ.  It was alleged that plan participants were terminated when the company ceased operations.  As of Dec. 5, 2011, the plan had five participants with total assets of $155,238.23. 

Resolution: A default judgment approved by United States District Judge Michael M. Baylson on Dec. 12, 2012, appointed Metro Benefits as the independent fiduciary of the plan.  Pursuant to the default judgment, Metro Benefits was granted full authority to administer the plan in order to effectuate its termination, including the distribution of plan assets to its participants and beneficiaries.

Court: United States District Court for the Eastern District of Pennsylvania

Docket Number: 12-CV-5288

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.