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Release Date: December 19, 2006
Release Number: 06-2094-ATL (299)
Contact Name: Dan Fuqua
Phone Number: 404.562.2078
Atlanta - The U.S. Department of Labor has
sued to restore more than $5,200 in assets to the 401(k) plan of Vinson
Van Go, a Huntersville, North Carolina, transportation company. The
lawsuit charges the company and the trustee of its retirement plan with
failing to transmit all employee contributions to the 401 (k) plan and
commingling the contributions with the company’s general assets.
Filed in U.S. District Court in Charlotte, the suit
alleges that the company and Gregory Vinson, a primary shareholder and
trustee of the company’s 401(k) plan, violated the Employee Retirement
Income Security Act (ERISA) between January and December 2001.
“Trustees of a 401(k) plan have a responsibility to
ensure that the assets of the plan are used solely to benefit
participants,” said Howard Marsh, director of the department’s
Atlanta regional office of the Employee Benefits Security Administration
(EBSA).
The suit seeks a court order requiring the defendants
to restore $5,270, plus interest and lost earnings, to the plan. The
department is also asking the court to bar Vinson from future service as
a fiduciary to ERISA plans and appoint a successor fiduciary to
administer the plan and distribute proceeds to participants.
The company’s 401(k) plan was established in
October 1998 and permitted employees to contribute through payroll
deductions. As of June 15, 2006, the plan had eight participants and
assets of $14,470.
Employers and workers can reach the EBSA regional
office in Atlanta at 404.562.2156 or toll-free at 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 vs. Vinson Van Go, LLC.)
Civil Action File Number 3:06-cv-00499
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page. The information in this news release will be made available
in alternate format upon request (large print, Braille, audio tape or
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placing your request at 202.693.7765 or TTY 202.693.7755. The U.S.
Department of Labor is committed to providing America's employers and
employees with easy access to understandable information on how to comply
with its laws and regulations. For more information, please visit the
Department's Compliance
Assistance page.
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