qualified plan investments in insurance company "separate account

[Guest Ralph Amadio]

A substantial amount of confusion, post-Harris Trust proposed regs, seems to exist in California, relative to what (if any) level of fiduciary liability an insurance company assumes when a separate account is used by a 401(a)qualified plan. If it is possible, could we get some clarification as to whether a governmental plan has any possible recompense in the event a separate account is not invested according to State or federal law? Please address on both a stand alone contract and a trusteed plan basis.

------------------