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Release Date: 08/26/2002
Release Number: 10
Contact Name: Sharon Morrissey
Phone Number: 202.693.8664
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Kansas City, Missouri - The U.S. Department of Labor filed a
lawsuit on August 16, 2002 against the Marche’ Associates, Inc. Profit
Sharing/401(k) Plan and its sole trustee, Stephen J. Lang, for failing to
forward to the plan contributions withheld from paychecks of two of the plan’s
participants. |
According to the lawsuit, between the period of August 15,
1997 to June 30, 1998, Marche’ and Lang withheld $2,265.00 and $3,841.06,
respectively, in employee contributions from the paychecks of two employees/plan
participants, but only deposited $472.50 and 997.90 to these participants’
accounts. The difference remains unpaid. In addition, these
participants were promised employer contributions for plan years 1997 and 1998.
These contributions also were not made to the plan. |
The department’s lawsuit is asking the court to order
Lang to restore to the plan all losses including interest, even if his own
account in the plan needs to be offset to recoup monies owed to the other
accounts. It also calls for Lang to be permanently barred from serving as
a fiduciary to any plan covered by the Employee Retirement Income Security Act (ERISA)
and for an independent fiduciary to be named to administer the plan and its
assets. The suit also calls for Marche to pay any cost associated with the
independent fiduciary or other plan professionals. |
Marche’ Associates is a Lawrence, Kansas corporation
engaged in small product design and engineering. |
“The department’s case demonstrates its serious
efforts to continue to protect the hard-earned benefits promised employees,”
said Gregory Egan, Regional Director of the Kansas City office of the Labor
Department’s Pension and Welfare Benefits Administration (PWBA), which
conducted the investigation. The complaint was filed in federal district
court in Topeka, Kansas. |
Employers and workers can contact the Kansas City office
at 1.816.426.5131 or PWBA’s Toll-Free Employee & Employer Hotline number at
1.866.275.7922 for help
with any problems relating to private-sector pension and health plans. |
(Chao v. Stephen J. Lang and Marche’ Associates, Inc.
Civil Action No. 2-CV-4129-RDR) |
U.S. Department of Labor
news releases are accessible on the Internet. The information in this news
release will be made available in alternate format upon request (large
print, Braille, audio tape or disc) from the Central Office for Assistive
Services and Technology. Please specify which news release when placing
your request. Call 202.693.7773 or TTY 202.693.7775. |
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