Printer Friendly Version
Release Date: August 12, 2008
Release Number: 08-1112-SAN (SF-87)
Contact Name: Roger Gayman
Phone Number: 415.625.2631
San Francisco – The U.S. Department of Labor
has sued a Long Beach pediatrician and his professional corporation for
allegedly misusing retirement plan assets and refusing to distribute
account balances to terminated participants.
The suit, filed in the U.S. District Court for the
Central District of California, alleges that Hezekiah N. Moore, M.D.,
individually and as a corporation, violated the Employee Retirement
Income Security Act (ERISA) by imprudently investing approximately
$172,500 in plan assets and failing to distribute plan funds. The
defendants’ actions may have resulted in financial losses for plan
participants and their beneficiaries.
“The law clearly requires those who administer
employee benefit plans to do so in a careful, prudent and honest manner
solely for the benefit of participants,” said Bradford P. Campbell,
assistant secretary for the department’s Employee Benefits Security
Administration (EBSA). “This case demonstrates the department’s
commitment to take action to protect the benefits promised to workers.”
The suit seeks to restore any losses owed to the
plan, remove Hezekiah N. Moore, M.D. of La Palma, California, as the
fiduciary, permanently bar him from serving in that function and appoint
an independent fiduciary to oversee the plan. The independent fiduciary
will be responsible for distributing the assets to eligible employees
and beneficiaries.
The professional corporation is a medical practice
specializing in pediatrics.
The action resulted from an investigation conducted
by EBSA’s Los Angeles Regional Office. Employers and workers with
questions or concerns regarding their private sector pension and health
plans can contact the regional office at 626.229.1000 or toll-free at
866.444.3272. Information is also available on the agency’s Web site
at www.dol.gov/ebsa. In fiscal year 2007, EBSA achieved monetary results
of $1.5 billion related to 401(k), health and other benefits for
millions of American workers and their families.
(Chao v. Hezekiah N. Moore, M.D., P.C.)
Civil Action No. CV08-04703 ODW (FFMx)
U.S. Department of Labor news releases are accessible on the
Department's Newsroom
page. The information in this news release will be made available
in alternate format (large print, Braille, audio tape or
disc) from the COAST office upon request. Please specify which news release when
placing your request at 202.693.7828 or TTY 202.693.7755. The Labor Department 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.
|