Labor Dept Seeks to Recoup
401(k) Plan Losses
From Former
Louis Allis Co Pres

The U.S. Department of Labor filed a adversary complaint asking the bankruptcy court in Milwaukee not to discharge any debt the former president of the bankrupt Louis Allis Co., Daniel E. Stetler, ILL, may have for any liability arising from his alleged violations of Title 1 of the Employee Retirement Income Security Act, in an effort to begin recouping moneys owed to participants of the company-sponsored 401(k) plans....

Louis Allis Co. established its union and non-union employee 401(k) plans in 1994 and, during the period of June 28 to Oct. 4, 1998, the company allegedly withheld voluntary employee contributions to the plans and failed to remit them to the plans' investment accounts. During the period of June 28 to Sept. 25, 1998, the complaint alleges that Stetler had discretionary authority or control to determine when or whether these employee contributions were withheld, forwarded tot he plan or commingled with the company's assets.... (more)

To view the complete press release, visit www.dol.gov/dol/pwba/public/media/press/pr051199.htm