April 15, 2014 – Without admitting any wrongdoing, ING Life Insurance and Annuity Company has agreed to settle a lawsuit claiming it violated prohibited transaction rules of the Employee Retirement Income Security Act (ERISA) by taking revenue-sharing payments.
Under the settlement agreement, ING will deposit $14.95 million into a common fund to provide compensation relief to the class of plaintiffs. The class includes administrators of ERISA retirement plans with which ING has maintained a contractual relationship based on a group annuity contract or group funding agreement and for which, since February 23, 2005, ING has received revenue-sharing payments.
The settlement also requires ING to make a number of changes to its business practices, including additional disclosures to plan sponsors of fund additions, removals and substitutions, and disclosures of fund-related fees and expenses.
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