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Release Date: March 27, 2008
Release Number: 08-289-ATL
Contact Name: Dan Fuqua/Michael Wald
Phone Number: 404.562.2078/404.562.2076
Atlanta – The U.S. Department of Labor has
obtained a consent judgment in the U.S. District Court for South
Carolina ordering Associated Technical Training Services Inc. (ATTSI)
and plan fiduciaries to restore $1,523,227 to the company’s 401(k)
profit-sharing plan.
“This legal action protects the workers and their
families who have been counting on this 401(k) for their retirement,”
said U.S. Secretary of Labor Elaine L. Chao.
Under the judgment, the defendants have agreed to
restore $1,269,881 in losses plus $253,346 in lost earnings. The
judgment also bars ATTSI and plan trustee Leslie M. Schile from future
service as fiduciaries to any plan covered by the Employee Retirement
Income Security Act (ERISA).
The Labor Department alleged that the plan’s
fiduciaries caused losses through mismanagement and acts prohibited
under ERISA by making imprudent investments and improper loans. Besides
the corporation, the defendants included Leslie M. Schile and the
estates of Gerald Schile and Leslie B. Schile.
In addition to the restitution, Leslie M. Schile and
the estate of Leslie B. Schile already have incurred costs associated
with the appointment of an independent fiduciary to oversee plan assets
on behalf of 24 participants.
Employers and workers can reach the Employee Benefits
Security Administration’s (EBSA) Atlanta Regional Office at
404.302.3900 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. Associated Technical Training Services Inc.
Civil Action Number 6:2008cv00659
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