The DOL filed a lawsuit, Perez v. Kinser et al. (docket number: 7:14-cv-00080), in the U.S. District Court for the Western District of Virginia. The suit names Mark Kinser, Joyce Bennett and Unlimited Construction Inc. as defendants.
In the suit, Mark Kinser is noted as having been the sole owner and CEO of Unlimited Construction Inc., as well as a plan trustee. Joyce Bennett was a plan trustee until approximately July 2011. The suit alleges that in August 2010, Kinser withdrew $491,000 from the plan’s investment account. The check was made payable to Kinser and Bennett, who endorsed the check. The check was then deposited into a personal banking account in Kinser’s name.
The DOL is seeking restitution to the plan for all losses due to the withdrawal of the $491,000, including: lost opportunity costs; the appointment of an independent fiduciary to administer or terminate the plan; and an injunction removing Unlimited Construction Inc., Kinser and Bennett as fiduciaries to the plan and permanently barring these parties from serving as fiduciaries to any plans covered by the Employee Retirement Income Security Act (ERISA).
A copy of the DOL lawsuit can be downloaded here.