This suit alleging breach of fiduciary duties in Transamerica Corporation’s retention of proprietary funds in its own $1.9 billion, 17,000 participant 401(k) Plan has reached settlement. Specifically, participants in this class action lawsuit alleged improper selection, retention, and monitoring of 6 funds offered to Plan participants, seeking damages of at least $15 million. The settlement motion however is for $5.4 million, along with non-monetary relief requiring defendants to provide fiduciary training to Plan trustees as well as the retention of an unaffiliated investment consultant for independent investment consulting services on a quarterly basis, for a minimum three-year compliance period. Transamerica denies the allegations in full.
www.napa-net.org; June 24, 2021.