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Release Date: September 3, 2008
Release Number: 08-1222-DAL
Contact Name: Diana Petterson/Elizabeth Todd
Phone Number: 972.850.4709/972.850.4710
San Antonio – The U.S. Department of Labor
has sued the owner of defunct Adtech Systems Inc. in San Antonio for
improperly using 401(k) assets withheld from employees’ pay to benefit
the company in violation of the Employee Retirement Income Security Act.
The department’s lawsuit alleges that from April
through November 2005, Eilert Richard Weitzel II, president and owner of
Adtech Systems, failed to forward to the company’s 401(k) plan
employee contributions deducted from their paychecks. The Labor
Department seeks to recover all assets plus interest owed to the plan,
correct any prohibited transactions and terminate the plan after all
assets are disbursed to eligible participants.
“The department helps workers get their benefits
when plan assets are either misused or plans are abandoned,” said
Roger Hilburn, director of the department’s Dallas Regional Office of
the Employee Benefits Security Administration (EBSA), which investigated
the case.
Adtech provided communications and information
systems and technologies for federal, state and local governments as
well as commercial customers. The company ceased operations in September
2006 due to financial difficulties.
The suit was filed in federal district court in San
Antonio. Employers and workers can reach EBSA’s Dallas Regional Office
at 972.850.4500 or toll-free at 866.444.3272 for help with problems
relating to private sector retirement and health plans.
In fiscal year 2007, EBSA achieved monetary results
of $1.5 billion related to pension, 401(k), health and other benefits
for millions of American workers and their families.
Chao v. Eilert Richard Weitzel II
Civil Action Number: 5:08-cv-719
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placing your request at 202.693.7828 or TTY 202.693.7755. The Labor Department is committed to providing America's employers and
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with its laws and regulations. For more information, please visit the
Department's Compliance
Assistance page.
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