Hospitals Sue CVS Health for $250M Pharmacy Scheme
Multiple federal lawsuits accuse CVS Health of orchestrating a scheme to divert $250 million in federal reduced-price drug program savings.
Tag: Lawsuits
Complaint Against American Express Alleges 401(k) Underperformance, Conflicts
Fiduciaries of the $9 billion plan are accused of retaining imprudent investments and favoring affiliated managers.
Former CFA Institute CMO Accused of Embezzling $6M
An indictment alleges that Michael Collins stole funds from multiple employers by invoicing them for nonexistent services from companies he...
Unions’ Motion for Restraining Order Against DOL Blocked
A judge blocked an attempt from several union groups and a think tank to prevent the Department of Labor from...
Case sensitive
The Question Stands
Must one tell all eligible workers if their employer offers a 403(b) plan?
Microsoft Escapes Retirement Plan TDF Suit
One of a string of lawsuits filed against companies that put retirement savers into a BlackRock TDF suite was dismissed...
Judge Recommends Dropping Most of $4.2B Retirement Plan Suit Against Nestlé
A U.S. District Court judge sided with Nestlé’s motion to dismiss most of the claims in a 401(k) class action...
Jury Rules in Favor of SEC in Federal Employee Fraud Case
An Atlanta-area broker was accused by the regulator of fraudulently inducing federal employees to roll over holdings from their federal Thrift Savings Plan retirement account into higher-fee, variable...
Advisers and Clients Slow Innovation to Prevent Litigation
The defined contribution retirement plan market saw an unprecedented number of lawsuits brought against plan sponsors and their providers in 2016, according to Cerulli Associates.
Wells Fargo Self-Dealing Suit Questions Committee Practices
The latest example of retirement plan fee litigation questions the offering of an “easy enrollment” function that favored investment into the company’s own TDF mutual funds.
Second Circuit Affirms Fiduciary Liability for Poor Diversification
A concise example of summary judgement published by the 2nd U.S. Circuit Court underscores retirement plan fiduciaries’ absolute duty to diversify and carefully administer participant assets.
Cetera Named in Small Plan Excessive Fee Suit
As investment adviser to the Checksmart 401(k) plan, Cetera Advisor Networks, has been accused of breaching fiduciary duties by only making available high cost funds to the plan.
Investment Product and Service Launches
LMCG Investments adds to small-cap offerings; Voya Financial expands access to its target-date mutual fund series; Fringe Benefits Design partners with Redhawk Wealth Advisors for ERISA fiduciary services.
ICI Questions Analysis Behind California Secure Choice Plan
Supporters say the California Secure Choice Retirement Savings Program will provide a voluntary, low-risk, auto-enrollment retirement savings plan for many uncovered workers in the state.
JP Morgan Will Pay $150 Million Over Risk Disclosures
Retirement plans across the U.S. argued they were misled about the riskiness of funds exposed to the firm’s much-maligned “London Whale” trading losses in 2012.
Court Affirms Dismissal of Verizon Pension Risk Transfer Suit
An appellate court ruled that the decisions to amend the plan and transfer certain assets to an annuity contract were settlor, not fiduciary, functions.
Investment Manager Held Liable for Not Diversifying Plan Assets
Fiduciaries should do everything possible to overcome perceived impediments to diversifying retirement plan assets, a judge found.
Increased Litigation Not Necessarily the Result of Tibble
Some have taken the Supreme Court’s decision in Tibble vs. Edison as paving the way for increased litigation based on the “duty to monitor,” but this is not...
Ameriprise Financial Settles ERISA Fee Litigation
Ameriprise Financial has agreed to settle a closely watched Employee Retirement Income Security Act (ERISA) suit, Krueger v. Ameriprise Financial, for $27.5 million in plan reimbursements and remedies.