US Department of Labor obtains judgment requiring defunct Westmoreland County company, president to restore $40K to its health plan

Summary:

On February 8, 2024, the U.S. District Court for the Western District of Pennsylvania issued a motion for default judgment in the case Su v. Robert Kendi, Ken-Co Fabricating Company Inc., and the Ken-Co Fabricating Company, Inc. health plan (Case No: 2:22-cv-01702-RJC). The Department of Labor had filed a complaint and motion in November 2022, alleging that Robert Kendi, Ken-Co Fabricating Co. Inc., and the Ken-Co Fabricating Co. Inc. Health Plan violated the Employee Retirement Income Security Act of 1974 (ERISA) by failing to make required premium payments for coverage from August 2019 to October 2020. As a result, the court ordered the defendants to restore $40,436 to the plan, which represents unpaid medical claims. Additionally, Robert Kendi and Ken-Co Fabricating Co. were removed as fiduciaries, and an independent fiduciary was appointed to manage and administer the plan.