ST. LOUIS — The U.S. Secretary of Labor is suing the president/director of Missouri Freight Equipment, alleging violation of Workers' Compensation acts.

U.S. Labor Secretary R. Alexander Acosta filed a complaint on June 15 in U.S. District Court for the Eastern District of Missouri Eastern Division against Ryan C. Abeln alleging that the defendant violated the Employee Retirement Income Security Act.

According to the complaint, the U.S. Labor Department alleges that between November 2012 and January 2014, numerous employees of the defendant were denied health insurance claims due to the defendant's failure to remit withholdings amounting to $22,722.30. Failure to remit the funds resulted in health plan losses and termination of coverage from the insurance companies in the plan. 

The plaintiff holds Abeln responsible because the defendant allegedly failed to remit the withholdings to insurance companies for payment of health insurance premiums, failed to segregate plan assets from the general assets of the corporation and failed to secure the transfer to avoid withholding benefits to employees.

The Labor Department requests a trial by jury and seeks to restore the company's health plan and 401(k) plan, coverage of all health claims under the plan, award of costs and such other further relief as is just and equitable. The Department is represented by its attorney Megan J. McGinnis in Kansas City, Missouri.

U.S. District Court for the Eastern District of Missouri Eastern Division case number 4:17-cv-01670-PLC

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