US Department of Labor files suit to restore losses to Guardian Graphics Profit Sharing Plan in Chicago

Guardian Graphics Profit Sharing Plan in Chicago

Date of Action: Jan. 13, 2014

Type of Action: Complaint

Names of Defendant: Richard J. Jurczykowski, Richard A. Lindahl, Guardian Graphics Ltd., Guardian Graphics Ltd. Profit Sharing Plan

Allegations: Guardian Graphics Ltd. was the Plan Sponsor and Plan Administrator of Guardian Graphics Ltd. Profit Sharing Plan. From Jan. 23, 2008, to present, Richard Jurczykowski and Richard A. Lindahl, both owners and officers of Guardian Graphics, were named trustees of the Plan. Furthermore, from Jan.  23, 2008, to present, Jurczykowski exercised authority and control over the management of the Plan and the assets of the Plan.

The Department alleges that during the period from Jan. 23, 2008, through May 10, 2013, Jurczykowski and Guardian Graphics failed to remit participant contributions totaling $55,538.83, which were withheld from participants’ pay, to the Plan. As such, Jurczykowski and Guardian Graphics failed to discharge their duties with respect to the Plan solely in the interest of the participants and beneficiaries and for the exclusive purpose of providing benefits to participants and their beneficiaries in violation of Employee Retirement Income Security Act.  Furthermore, as a Plan trustee, Lindahl failed to ensure that Jurczykowski and Guardian Graphics remitted participant contributions to the Plan, The suit further alleges that Lindahl is liable as a co-fiduciary and co-trustee.

Resolution: The complaint seeks an order requiring the defendants to restore to the plan all losses, including lost opportunity costs, resulting from fiduciary breaches; permanently enjoining them from service as fiduciaries or service providers to any ERISA-covered plan; appointing an independent fiduciary to distribute the Plan’s assets and terminate the Plan; and requiring the defendants to pay all reasonable fees and expenses incurred by the independent fiduciary.

Court: U.S. District Court for the Northern District of Illinois, Eastern Division, Chicago, Illinois

Docket Number: 1:14-cv-00213

Employers and workers can reach EBSA’s Chicago office at 312-353-0900 or toll-free at 866-444-3272 for help with problems relating to private-sector retirement and health plans. Additional information can be found at www.dol.gov/ebsa.

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.