CHARLESTON, W.Va. — The U.S. Department of Labor introduced Friday it has filed a lawsuit to restore losses related to a former hospital CEO’s failure to ahead contributions to the corporate’s health care plan.
According to the Department of Labor, Charles Hatfield made “fiduciary breaches” as CEO of the Williamson Memorial Hospital. The hospital filed a chapter petition in October 2019.
An investigation discovered Hatfield withheld voluntary premium contributions and didn’t ahead funds to cowl workers’ medical prices. The investigation centered on a interval from July 1, 2018 via Oct. 31, 2019.
“Fiduciaries have a legal obligation to operate employee benefit plans solely in the interest of participants and beneficiaries,” mentioned Cristina O’Brien, the appearing regional director of the Employee Benefits Security Administration. “We will hold them accountable whenever they fall short of that obligation.”
The submitting additionally requires Hatfield’s everlasting elimination as a fiduciary and prohibition from serving as a fiduciary to any Employee Retirement Income Security Act-covered profit plan.