Fiduciaries of the Insperity 401(k) Plan are targeted in the recently filed Pledger et al. v. Reliance Trust Co. et al., case. Attorney Jerry Schlichter, who has filed suits against many large corporations and financial firms regarding 401(k) issues, filed the case claiming the fiduciaries caused participants to pay excessive fees to the plan record keeper, Insperity Retirement Services, a subsidiary of the plan sponsor, Insperity Inc.
The article on Investment News.com stated the complaint also alleged in the case that, “Insperity and Reliance Trust Co., the plan’s discretionary trustee, breached their fiduciary duties under the Employee Retirement Income Security Act of 1974 by offering funds with high expenses and poor performance, including proprietary mutual funds and collective investment trusts offered by Reliance” and that Insperity, “failed to adequately monitor Reliance, a fiduciary responsible for investment selection in the plan.”
The suit was filed in the U.S. District Court for the Northern District of Georgia, Atlanta Division. To read more about the case, click here for the full article on Investment News.com. A copy of the complaint can be found here.