The U.S. Department of Labor has obtained a default judgment requiring Akron, Ohio-based Markham Machine Co. Inc. and its owner to restore more than $134,000 to the company’s retirement plan after the company violated federal law.
Entered by the U.S. District Court for the Northern District of Ohio, the default judgment details that the company and owner James Markham’s liability includes $101,613 in unremitted employee contributions and loan repayments intended for the company’s retirement plan over a four year period, a violation of the Employee Retirement Income Security Act.
The order requires Markham and the company to restore all retirement plan losses, including the employee contributions, loan repayments, and lost opportunity costs totaling $134,292. The court ordered Markham’s retirement account with the company to be used to offset losses to the plan. Additionally, the court permanently barred Markham and the company from serving as a fiduciary or service provider to any ERISA-covered employee benefit plan in the future.
The court removed Markham and the company as fiduciaries to the retirement plan and, in their place, appointed AMI Benefit Plan Administrators Inc. to serve as the independent fiduciary in charge of administering and terminating the Markham Machine Co. Inc. retirement plan.
Source: DOL
Topics
Ohio
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