Wells Fargo was sued last week by a former employee for allegedly misusing forfeited funds in its 401(k) plan, in a recent uptick of forfeiture lawsuits continuing the trend of employers facing scrutiny for using 401(k) plan forfeitures to reduce employer contributions.
Former employee Thomas Matula, Jr. is alleging the Wells Fargo & Company 401(k) Plan violated the Employee Retirement Income Security Act and "wrongfully and consistently" misused 401(k) plan assets for the company's own benefit instead of its participants, in a proposed class action lawsuit in California federal court. Plan assets "have been wrongfully diverted out of the Plan," according to the suit.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
