Schlichter Bogard & Denton Sues Pentegra on Behalf of Participants in its $2.1 Billion Multiple Employer Plan
Schlichter Bogard & Denton has filed suit on behalf of participants in the $2.1 billion Pentegra Defined Contribution Plan. As alleged in the lawsuit, Pentegra failed to monitor recordkeeping fees and charged excessive – and consistently rising – administrative fees, despite its considerable bargaining power and duty to solicit competitive bids. The lawsuit further alleges that such fees constitute prohibited transactions. As alleged in the complaint, “from 2014 to 2018, Defendants caused over $50 million in direct payments to be taken from the Plan and paid to Pentegra.”
The suit also claims that Pentegra failed to utilize lower-cost share classes and thereby caused the plan to suffer millions of dollars in excessive investment management fees. Coverage related to the lawsuit can be found here.
We are proud to be pioneers in litigation on behalf of retirement plan participants. To learn more about high-impact litigation handled by Schlichter Bogard & Denton, please contact us at 800-873-5297 or firstname.lastname@example.org.