The Department of Labor (DOL) has sued New Jersey concrete manufacturer Di Ferraro Inc. for failure to remit participant deferrals for loan repayments and failed to make promised employer matching contributions to its 401(k) in U.S. District Court for the District of New Jersey.
The DOL, has sued concrete manufacturer Di Ferraro Inc.; company president Mario Ferraro Jr.; and the Crews-Farrell-Mead 401(k) Savings and Retirement Plan (where Di Ferraro serves as an affiliated employer), claiming they have committed fiduciary breaches under the Employee Retirement Income Security Act.
According to the DOL, loan repayments were withheld from some employee paychecks and not properly remitted to the Plan for 6 years. Also, on multiple occasions from January 1, 2015, through December 31, 2021, Defendants failed to send the Plan the required amount of employer matching contributions each year.”
Employees who contributed to the plan via weekly payroll deductions were promised, by Di Ferraro, that their contributions would be 100% matched up to $1,040 per year, the complaint shows.
For multiple occasions in a 6 year period, the Defendants failed to send the Plan the required amount of employer matching contributions each year, according to the DOL.