Archived News Release Caution: Information may be out of date.
|
Release Date: 08/01/2001 Contact Name: Sharon Morrissey Phone Number: 202.219.8921 |
|
Denver, Colorado - The U.S. Department of Labor
obtained a judgment on July 18 requiring trustees of the Aurora,
Colorado-based 401(k) plan of Preferred Mold & Engineering, Inc. to repay
$5,652.30 to the plan. |
Defendants Mark Ziemer and James Ziemer also
agreed to locate affected plan participants, make distributions to eligible
plan participants and terminate the plan. The Ziemer brothers also were ordered
to obtain and maintain a fidelity bond as required by the Employee Retirement
Income Security Act (ERISA). |
In January 2001, the department sued the Ziemers
for withholding but failing to forward their employees salary deferral
contributions to the companys 401(k) plan. The failure of the employer to
forward employee contributions on a timely basis cost plan participants
consequently to suffer losses of $5,652.30, including lost opportunity costs.
|
Preferred Mold & Engineering established the
plan on April 1, 1996 and as of March 1999, the plan had 20 participants and
$139,311 in assets. At the time of the improper action, Mark Ziemer and James
Ziemer also were the president and vice president, respectively, of the
company. |
This action reaffirms our commitment to
protect the hard-earned benefits promised by employers, said Gregory P.
Egan, director of the Kansas City Regional Office of the Pension and Welfare
Benefits Administration, which conducted the investigation. Employers and
workers can reach us at 816.426.5131 for help with any problems relating to
private-sector pension and health plans. |
The consent order/judgment was entered in the
federal district court in Denver. |
(Chao v. Mark Ziemer, James Ziemer, et al
Civil Action No. 01-D-0115) |
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. |
Archived News Release Caution: Information may be out of date.
| |
|