Labor Dept Sues Ohio Exec
Over Misuse of
401(k) Contributions

The U.S. Department of Labor has sued the owner of Columbus, Ohio-based TennOhio Transportation Co. for failing to deposit employee contributions into investment accounts of the company's 401(k) plan and keeping plan money in accounts of TennOhio and related companies.

The plan, established in 1993, provides retirement benefits to as many as 356 employees of TennOhio and three related companies: Marpam Truck and Trailer Co., Commercial Trailer Co. and Garland Transportation Co. The plan had assets of $649,931.00 as of June 30, 1997.

According to the lawsuit, John Armstrong violated the Employee Retirement Income Security Act (ERISA) by failing to remit voluntary employee contributions to the 401(k) plan's investment accounts over the period Nov. 1, 1996 to Aug. 25, 1997. At the time of the improper action, Armstrong was the president of TennOhio and a major owner of the three related companies.... (more)

To view the complete press release, visit www.dol.gov/dol/pwba/public/media/press/pr042399.htm