M&T Bank OK’d for $21 Million Deal in In-House 401(k) Fund Suit

M&T Bank Corp.'s $20.9 million settlement with participants in its 401(k) plan received preliminary approval from the Western District of New York, putting the bank one step closer to resolving allegations that it engaged in self-dealing by putting affiliated mutual funds in the plan.

The deal, first announced in December 2019, requires M&T to have the disputed funds reviewed by an independent investment adviser. M&T also agreed to seek out a new record keeper to provide administrative services to the plan, which holds about $2.5 billion in retirement assets.

Magistrate Judge Jeremiah J. McCarthy of the U.S. District Court for ...