eligibility determination for nonbargaining employee

[Guest cc1898]

A contributing employer has been making contributions on behalf of an employee who does not perform bargaining unit work. It's believed that the employer has an agreement with the individual to contribute so that the employee will receive welfare benefits. This individual used to be a contributing employer but the company has stopped operating.

I'm wondering if anyone has any experience with this type of situation or case law to consider. The contributions will be returned to the employer and the employee is going to be notified of his ineligibility to participate. However, I'm undecided as to whether this employee should have 180 days to appeal this (as is required in the claims regs for adverse determinations) or since this individual was never a participant in the first place, he would not have ERISA rights and therefore provide him at least 30 days to appeal.