An employee whited out the date next to her signature and the plan sponsor’s signature on a distribution form. The plan sponsor’s signature was not accurate because this plan sponsor left. This alerted the investment company who alert the plan sponsor. The employee did not know there was anything wrong with this. She was doing it for convenience. She thought that if there was something wrong with this then the investment company would say something. The employe was fired. The employee said that she was falsifying a document and she committed fraud. When the employee challenged these allegations the employer then said it was not them who were alleging fraud but the investment company. The investment company is denying that they alleged fraud. They said that the only alerted the employer that the plan sponsor’s signature was not on their approved list so should they proceed with the withdrawal. The employer said no. The investment company said they are strictly record keepers. Did this employee break any laws, rules, or regulations?
