Compliance November 9, 2010

Former CEO Ordered to Restore 401(k)

The former CEO of Leading Technology Services Corp. (LTS) was sentenced to prison and ordered to provide $57k in restitution to the company’s 401(k) plan participants.

Reported by

Rebecca Moore

The U. S. Department of Labor’s Employee Benefits Security Administration (EBSA) announced that Kim Ghi Martin was sentenced to three months in prison followed by three years of supervised release and was ordered to pay $56,957.18 in restitution.Martin was sentenced after pleading guilty to a one-count criminal information charging her with theft of employee benefit assets from the 401(k) plan.

Under the sentence, Martin is subject to forfeiture of assets and must pay monthly restitution to her victims beginning 60 days after release from prison, according to the announcement.