If you are a fiduciary of a 401(k) or 401(a) ERISA plan that contracted with ING Life Insurance and Annuity Company, you should be aware of a class action settlement.
This is a summary. For more information please read the Notice and instruction Form.
What is this about?
In a lawsuit in federal court in Connecticut, the plaintiffs, Healthcare Strategies, Inc. and The DeRosa Corporation (“Plaintiffs”), have alleged that ING Life Insurance and Annuity Company (“ILIAC”) violated ERISA by receiving payments from mutual fund companies whose funds are offered as investment options to 401(k) and 401(a) retirement plans (“revenue sharing payments”). The Court has not made any rulings about whether ILIAC did anything wrong, and ILIAC denies any wrongdoing. Plaintiffs have agreed to settle the case because they believe that the settlement provides substantial and meaningful relief to the members of the settlement class and in light of the potential risks of further litigation. ILIAC has agreed to settle to avoid the expense and distraction of further continued litigation. Both parties agree that the settlement provides meaningful and carefully tailored relief to the settlement class that relates directly to the allegations in Plaintiffs’ case.
What does the Settlement provide?
Plans that have contracted with ILIAC between February 23, 2005 to February 7, 2013 can receive a payment from a settlement fund of $14,950,000. ILIAC also has agreed to make a number of changes in its business practices for the next five years and will provide settlement class members with enhanced disclosures of information regarding the revenue sharing payments and other compensation that it receives in connection with investments by its 401(k) and 401(a) retirement plan customers, as well as a way of paying ILIAC for services rendered without ILIAC receiving any revenue sharing payments.
Who represents me?
The Court has appointed lawyers to represent the class of retirement plans at no cost to class members. These attorneys will ask the Court to award them attorneys’ fees and expenses, and the Court will determine the reasonable fees and expenses to be paid. For more information regarding the attorneys’ fees and expenses being requested, please visit the website or call the number below. You may hire your own attorney if you wish, but at your own cost.
What are my rights?
- To get money, your plan must submit a completed Instruction Form by December 1, 2014. If you do nothing, you will remain in the class but receive no money. You do not need to do anything to get the benefit of the new business practices. You do not need to do anything to get the benefit of the settlement.
- You may exclude yourself from the class by sending a letter to the addresses listed in the full class notice and it must be received no later than September 3, 2014. Your plan cannot get any money if you do so.
- You may object to the settlement by filing an objection with the Court, Lead Counsel, and Counsel for ILIAC no later than September 3, 2014 as detailed in the full class notice.
- If the settlement is approved by the Court, class members who do not opt out will give up any claims covered by the settlement and will be bound by the Court’s orders in the case.
The Court will hold a hearing on September 17, 2014 at 2:00 p.m. in Courtroom 18 to consider whether the settlement is fair, reasonable, and adequate, and to consider the motion for attorneys’ fees and expenses.
You can view a copy of the full class notice and an Instruction Form by clicking HERE. You can also call 866-274-4004 or write:
Strategic Claims Services
Attn: ING ERISA Settlement
P.O. Box 230
600 N Jackson Street – Suite 3
Media, PA 19063