MONTPELIER, Vt. – The U.S. Department of Labor is suing the fiduciaries of a Vermont employee stock ownership plan for violations of the Employee Retirement Income Security Act alleging that First Bankers Trust Services, Inc.’s 2011 purchase of the company on behalf of the ESOP from its two previous owners caused the plan to suffer sizable financial losses.

WASHINGTON – The U.S. Department of Labor’s Employee Benefits Security Administration announced today updated guidance for plan fiduciaries with respect to proxy voting. Specifically, the agency released Interpretive Bulletin 2016-01, which withdraws IB 2008-2 and reinstates earlier guidance related to such proxy voting, but with certain updates to clarify what the law requires of plan fiduciaries.

Date of Action: Dec. 21, 2016

Type of Action: Complaint

Name(s) of Defendant(s): Larry Porter, Susan Porter, SeaBoard Management LLC, SeaBoard Management Inc., and SeaBoard Management Inc. Money Purchase Plan

WASHINGTON – Increasing access to retirement savings opportunities is the surest way to help more of America’s workers secure their financial futures. Today, the U.S. Department of Labor’s Employee Benefits Security Administration is announcing a final rule to assist large cities and other political subdivisions that establish payroll deduction individual retirement account savings programs for workers who do not have access to workplace savings arrangements.

Date of action: Dec. 15, 2016

Type of action: Complaint

Name of defendants: Urban Hotels Inc., doing business as LAX Plaza Hotel
Urban Hotels 401(k) Plan and Trust

WASHINGTON – It can be challenging for workers seeking disability benefits from an employer-sponsored plan to understand the process and why their claim is approved or denied. To improve the fairness, transparency and accuracy of the disability claims process, the U.S. Department of Labor has announced a final rule requiring that plans, plan fiduciaries, and insurance providers comply with additional procedural protections when dealing with disability benefit claimants.

Date of Action: Dec. 9, 2016

Type of Action: Complaint

Name(s) of Defendant: Authorized Factory Service Inc.

Allegations: Based on an investigation conducted by the U.S. Department of Labor’s Employee Benefits Security Administration, the U.S. Secretary of Labor filed a complaint alleging:

Date of Action: Dec. 2, 2016

Type of Action: Complaint

Defendant(s): Matthew Kenneth Smith
Wind Turbine Solutions LLC
Wind Turbine Solutions LLC Retirement Trust

Date of Action: Dec. 8, 2016

Type of Action: Employee Retirement Income Security Act lawsuit

Names of Defendants: Nicholas C. Caro
N.C. Caro M.D., S.C.
N.C. Caro M.D., S.C. Defined Benefit Plan

WASHINGTON – U.S. Secretary of Labor Thomas E. Perez today announced the appointments of five new members to the 2017 Advisory Council on Employee Welfare and Pension Benefit Plans, known as the ERISA Advisory Council. He also announced the incoming chair and vice chair of the council.

WASHINGTON – The Advisory Council on Employee Welfare and Pension Benefit Plans, also known as the ERISA Advisory Council, will meet at U.S. Department of Labor headquarters Nov. 9-10, 2016, to finalize their recommendations and to receive an update from the Employee Benefits Security Administration.

The council has scheduled the EBSA update tentatively for the afternoon of Nov. 10.

SAN FRANCISCO – The U.S. Department of Labor has secured a judgment against San Francisco-based California Pacific Bank and four individual fiduciaries, requiring them to pay $866,840 in retirement benefits, plus interest, to employees who participated in the company’s stock ownership benefits plan.

WASHINGTON – The U.S. Department of Labor’s Employee Benefits Security Administration, the Internal Revenue Service, and the Pension Benefit Guaranty Corporation today released advance informational copies of the 2016 Form 5500 annual return/report and related instructions.

Date of Action: Oct. 25, 2016

Type of Action: Employee Retirement Income Security Act Lawsuit

Names of Defendants: Todd Olson, Dell Inc., Dell Inc. Simple IRA Plan

WASHINGTON – In light of the devastation following Hurricane Matthew, the U.S. Department of Labor’s Assistant Secretary of Labor for Employee Benefits Security Phyllis C. Borzi announced today an update on compliance with employee benefit plan rules for those adversely impacted.

WASHINGTON – The U.S. Department of Labor has filed a lawsuit against the fiduciaries of a Virginia-based employee stock ownership plan, alleging the defendants failed to protect the assets of the plan as it purchased nearly $21 million in company shares from the president of Sentry Equipment Erectors Inc. who was also a trustee of the ESOP.

Date of Action: Oct. 3, 2016

Type of Action: Order of Dismissal

Name(s) of Defendants: Tarry Bratton
B.C. Inc.
401(k) employer-sponsored retirement savings plan

Date of Action: Sept. 27, 2016

Type of Action:  Filing of Complaint

Name(s) of Defendant: Michael E. Weinhagen, Weinhagen Tire Co. Inc., Weinhagen Tire Co. Inc. 401(k) Plan

Allegations: Michael E. Weinhagen is the sole owner and president of St. Paul, Minnesota-based Weinhagen Tire Co. and the fiduciary to the Weinhagen Tire Co. Inc. 401(k) Plan. 

WASHINGTON – Fiduciaries of a health plan covering employees of a major western lumber producer have agreed to settle claims that they did not comply with the Affordable Care Act and the Employee Retirement Income Security Act when providing healthcare benefits and deciding worker claims for healthcare benefits.

Date of Action: Sept. 22, 2016

Type of Action: Complaint

Name(s) of Defendants: Steven Keares Inc.
Harry Keares
Steven Keares Inc. 401(k) Retirement Plan