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Release Date: November 7, 2008
Release Number: 08-711-ATL (279)
Contact Name: Michael Wald
Phone Number: 404.562.2078
Atlanta – The U.S. Department of Labor has
obtained a default judgment appointing M. Larry Lefoldt as the
independent fiduciary for the 401(k) plan of defunct TDH Enterprise
Corp. of Morrow, Georgia.
The judgment also removes TDH as a fiduciary to the
plan and bars it from violating the provisions of the Employee
Retirement Income Security Act. When TDH ceased operations in July 2005,
the automotive repair company failed to terminate the plan and ensure
that funds were distributed to participants. Another fiduciary to the
plan, Barry Grosselin, has failed to administer the plan since that
time.
“Even though the defendant has abandoned this plan,
the Labor Department will not abandon the employees who count on these
funds for their retirement,” said R.C. Marshall, regional director of
the Labor Department’s Employee Benefits Security Administration (EBSA)
in Atlanta.
The court order directs the independent fiduciary to
assume control of the plan, including all assets, with the intention of
terminating it and distributing any remaining assets to the plan
participants. As of October 2006, the latest data available, the plan
had five participants and $12,669 in assets.
Employers and workers can reach EBSA’s Atlanta
Regional Office at 404.302.3900 or toll-free at 866.444.3272 for help
with problems relating to private sector retirement and health plans. In
fiscal year 2007, EBSA achieved monetary results of $1.5 billion related
to pension, 401(k), health and other benefits for millions of American
workers and their families.
Chao v. TDH Enterprise Corp.
Civil Action File Number 1:07-cv-1764-JEC
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