Subscribe Now!
Free Daily News, Jobs, Webcasts, Discussions
Display and Distribute
Your Job Openings
COVID-19 News
COVID-19 Webcasts

Featured Jobs

Retirement Plan Consultant

(Telecommute / Dallas TX / University Place WA / The Woodlands TX)

Definiti logo

Retirement Plan Manager / Senior Administrator

Southern Pension Services
(Tampa FL)

Southern Pension Services logo

Retirement Plan Consultant

Cetera Retirement Plan Specialists

Cetera Retirement Plan Specialists logo

Director of Business Development

(Atlanta GA)

ERISA Pros, LLC logo

Defined Contribution Plan Administrator

The MandMarblestone Group, llc
(Telecommute / Philadelphia PA)

The MandMarblestone Group, llc logo

Retirement Plan Consultant

DWC - The 401(k) Experts

DWC - The 401(k) Experts logo

401(k) Client Support Specialist

401K Generation
(Altamonte Springs FL)

401K Generation logo

Free Daily News and Jobs

“BenefitsLink continues to be the most valuable resource we have at the firm.”

-- An attorney subscriber

Mobile App image LinkedIn icon
Twitter icon
Facebook icon

By Date   |   By Company Name

View More Press Releases by Employee Benefits Security Administration [EBSA], U.S. Department of Labor

Press release:

Federal Court Orders Kentucky Bankers Association to Pay $1,561,818 In Losses to Benefits Plan After U.S. Department of Labor Finds Violations

Issued by: Employee Benefits Security Administration [EBSA], U.S. Department of Labor

Date: Oct. 15, 2020

LOUISVILLE, KY – After an investigation by the U.S. Department of Labor’s Employee Benefits Security Administration (EBSA), the U.S. District Court for the Western District of Kentucky entered a consent order and judgment against the Kentucky Bankers Association (KBA), Participating Employer Committee (PEC), Association Healthcare Consortium Inc., and the current and former trustees of the Kentucky Bankers Association Health and Welfare Benefit Program and the KBA Benefits Trust holding them jointly and severally liable to pay $1,561,818 in losses to the Trust. The current and former trustees include Ballard W. Cassady Jr., W. Fred Brashear II, Neil S. Bryan, Burt Bellamy and Jack W. Strother Jr.

The order permanently enjoins and restrains the defendants from violating provisions of Title I of the Employee Retirement Income Security Act (ERISA) and the Department also assessed the defendants a penalty of $312,363.

EBSA’s investigation found the defendants violated ERISA when they authorized KBA and its for-profit wholly owned affiliate, KenBanc Insurance Inc. (KBI), to receive impermissible insurance commissions, fees for administrative tasks, and reimbursements from the Trust’s assets for employee salaries and office space lease payments from Feb. 4, 2011, through Sept. 22, 2017. 

During this period, multiple defendants simultaneously served as trustees of the trust and directors and officers of the KBA or KBI. EBSA found the defendants failed to ensure KBA and KBI did not receive more than their permissible direct expenses for services performed for the Trust. As a result, the defendants caused $1,489,231 in losses to the trust in addition to $72,587 in lost potential earnings.

“This settlement restores money to those plan participants and employers who were harmed by the violations," said EBSA Regional Director L. Joe Rivers in Cincinnati, Ohio. “Plan trustees must work solely in the interest of plans and participants.”

View More Press Releases by Employee Benefits Security Administration [EBSA], U.S. Department of Labor

This is a press release issued by the company named above. BenefitsLink is not the author. Use of any information obtained from this release is voluntary, and reliance on it should only be undertaken after an independent review of its accuracy, completeness, efficacy, and timeliness. Reference to any specific commercial product, process, or service by trade name, trademark, service mark, manufacturer, or otherwise does not constitute or imply endorsement, recommendation, or favoring by BenefitsLink.

© 2020, Inc.