In a lawsuit, he alleges the retirement plan service provider did not take steps to protect the personal information of participants in plans it serves.
Alight has been sued by retirement plan participants whose accounts were hacked, and the Department of Labor is investigating the provider's practices.
A person requesting certain assistance through the the firm's participant service center or other means may be required to go through additional scrutiny using a live video identity verification process.
A Cerulli Associates report finds recordkeepers expect to beef up their cybersecurity staff.
Attorneys have confirmed that the DOL has begun an audit initiative and is asking for a broad range of cybersecurity information and documentation.
The Great-West Life affiliate was accused of violating the federal securities laws governing the filing of Suspicious Activity Reports.
The lawsuit says the trustee failed to prevent a fraudulent distribution from a participant's account and is failing to take responsibility.
The plaintiff filed a first amended complaint on October 23, trying to correct pleading errors after Abbott was dismissed from the lawsuit.
A federal judge found Abbott defendants were not fiduciaries with regard to the alleged acts, but claims against Abbott's retirement plan recordkeeper were allowed to stand.
Retirement plan advisers were given ideas to consider and actions to take in response to new legislation, regulation and litigation.
Situations like this emphasize the clear and present need for retirement plans to implement effective cybersecurity policies.
A federal judge previously moved forward ERISA claims against retirement plan providers and has recently allowed for a counterclaim by the providers against the plan sponsor.
According to the complaint, an unknown person or persons stole a participant’s retirement savings by withdrawing a total of $99,000 in three separate unauthorized distributions from her account in the plan.