The suit, filed in US District Court in Manhattan, names as defendant William Perry, administrator and trustee of the health and pension plans for District 6 of the International Union of Industrial Service, Transport & Health Employees. Perry is also union president. Also named as defendants are trustees Jerome Vuoso, Ludovic Marcovici and Francis Winn – and the union.
The US Labor Department DoL suit asks that a judge bar the defendants from serving any other ERISA-governed plan and to force the defendants to restore any plan losses plus interest.
Allegations levied against Perry in the suit include that he:
- issued, endorsed, and cashed 1,100 health plan checks payable to others from 1993 to 1999,
- didn’t collect rent for the health plan from a building the plan largely owned,
- used both pension and health plan assets to reimburse the union for expenses other than those incurred in plan administration, and
- failed to diversify the health plan’s investments by putting more than 90% of its assets into a building at 18 East 31st Street in Manhattan.
The DoL named the trustees in the suit for not monitoring and correcting Perry’s actions.