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Release Date: August 22, 2006
Release Number: 06-1081-CHI
Contact Name: Brad Mitchell
Phone Number: 312.353.6976
Macedonia, Ohio - The U.S. Department of Labor
has sued the former president of now-defunct D.L. French Company Inc.,
Macedonia, Ohio, for failing to administer the company’s 401(k) profit
sharing plan so that assets could be distributed to plan participants.
“The department will act when plan fiduciaries fail
to carry out their duty to protect the retirement plan assets held on
behalf of participants,” said Joseph Menez, director of the department’s
Cincinnati regional office of the Employee Benefits Security
Administration (EBSA).
The lawsuit alleges that Daniel French, president and
owner of the company, violated his fiduciary duties to the savings plan
when he failed to take responsibility for terminating the plan and
distributing its assets to beneficiaries and participants when the
company ceased doing business in January 2005. D. L. French Company,
which sponsored the plan for 11 workers, primarily manufactured water
manifolds for the plastics industry.
The suit seeks to appoint an independent fiduciary to
manage the plan, terminate it and distribute assets to eligible
participants and beneficiaries.
The suit, filed in federal district court in Ohio,
resulted from an investigation conducted by EBSA’s Cincinnati regional
office. Employers and workers can reach the regional office at
859.578.4680 or through EBSA’s toll-free number, 1.866.444.EBSA
(3272), for help with problems relating to private-sector retirement and
health plans.
In fiscal year 2005, EBSA achieved monetary results
of $1.7 billion related to pension, 401(k), health and other benefits
for millions of American workers and their families.
(Chao v. Daniel French)
Civil Action No. 5:06-cv-01902-JG
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