US Department of Labor secures appointment of independent fiduciary for abandoned Brooklyn, NY, retirement plan

Date of Action: February 14, 2014

Type of Action: Judgment and Order

Name(s) of Defendant: People of Color in Crisis 403(B) Retirement Plan

Allegations: The plan was established on or about Nov. 1, 2002 by People of Color in Crisis Inc. The company ceased operations in December 2008. From at least 2008, no individual or entity has come forward to assume fiduciary responsibility for the plan or to distribute its assets to the plan’s five participants. There is no fiduciary actively functioning on behalf of the plan. As a result, the plan’s remaining five participants cannot access the plan’s $39,133.41 in assets. The department filed suit in June 2013 seeking the appointment of an independent fiduciary.

Resolution: The court has ordered the appointment of M. Larry Lefoldt, CPA, as independent fiduciary to administer the plan, distribute its assets to the plan participants and beneficiaries and, if necessary, terminate the plan in accordance with applicable plan documents, the Employee Retirement Income Security Act and other applicable federal law.

Court: U.S. District Court for the Eastern District of New York

Docket Number: 1:13-cv-03427-RRM-JMA

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.