US Labor Department files suit, seeking appointment of independent fiduciary for abandoned Central Islip, NY, Profit Sharing Plan

Date of Action: June 11, 2014

Type of Action: Complaint

Name of Defendant: First Land Title Agency of New York Inc. Profit Sharing Plan

Allegations: The plan was established on or about Jan. 1, 2002, as a defined contribution plan for employees of the First Land Title Agency of New York Inc. in Central Islip, N.Y. Andrew Knee was the plan’s trustee and only fiduciary.  On Aug. 21, 2007, Andrew Knee committed one count of grand larceny and was sentenced to one to three years in the Franklin Correctional Facility in Malone, N.Y. Knee’s criminal conviction prohibits him from serving as an administrator, officer or fiduciary of any benefit plan covered under the Employee Retirement Income Security Act.

Knee stopped performing his fiduciary duties in 2011, when the company went out of business and no new fiduciary was appointed. Without a named fiduciary, the plan’s two participants cannot access approximately $127,120.42 in plan assets.

Resolution: The Department is asking the court to appoint an independent trustee and fiduciary to administer the plan and distribute its assets to its participants and beneficiaries.

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

Docket Number: 2:14-cv-03696-SJF-AKT

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.