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Compliance May 24, 2012
DOL Frees Assets for 401(k) Plan
May 24, 2012 (PLANSPONSOR.com) – Following a lawsuit, the U.S. Department of Labor appointed an independent fiduciary to manage a defunct New Jersey company’s 401(k) plan.
Reported by PLANSPONSOR staff
The agency named M. Larry Lefoldt of Lefoldt & Co. P.A. as the fiduciary of the Weehawken, New Jersey-based Worldwide Trade Resources Inc.’s 401(k) plan, which has 52 participants and approximately $2.2 million in assets.
The department’s suit alleged that the company had not named a fiduciary as required by the Employee Retirement Income Security Act (ERISA) by the time the company closed around October 2010. As a result, the plan’s participants and beneficiaries could not obtain plan information, make investments or collect retirement benefits.
Lefoldt & Co. has the authority to manage the plan, distribute its assets to eligible participants and beneficiaries, and terminate it.
Jay Polansky