The federal government is suing the owners of a Columbus printing company and their pension plan administrator, claiming they all failed to execute their fiduciary responsibilities to employees.
At issue is more than $400,000 in funds missing from two pension accounts set up for employees of Clark Graphics. The lawsuit—filed by the Department of Labor’sSecurity Administration (EBSA)—claims company owners Mary Clark, James Clark and Stephen Clark failed to monitor fund administrator Pension Retirement Planning and its president, Marcia Dowdell.
An EBSA investigation found that Dowdell couldn’t account for more than $300,000 that should have been in the company’s profit-sharing plan and more than $100,000 from Clark Graphics’ defined benefits retirement plan.
Note: Employers are free to outsource retirement plan administration, but they ultimately have a fiduciary responsibility to make sure plans are secure and run in accordance with federal law.