This excellent article by Darla Mercado provides background and commentary on Mr. Schlichter, founder of St. Louis based Schlichter Bogard and Denton. He is well known within the 401(k) industry for launching (and winning) a volley of lawsuits against 401(k) plan sponsors and providers, focused mostly on breach of fiduciary duty in the form of excessive fees and funds that are not in the plan participant’s best interests.
In this article from Benefits Pro the author notes that DOL fines for non-compliance are up dramatically in 2013 and it is expected that this trend will continue in 2014. We have recently learned that the DOL has hired 15,000 new auditors over the last year.
In 2013 the DOL collected $1.69 Billion in fines, up from 2012’s $1.27 Billion. As compliance becomes more complex and oversight increases, now is a good time for Plan Sponsors to ensure that their plans are in compliance. See this article for the Top 10 Audit Problems.