DOL Reaches $5.5M Deal With Skin Doctor in Stock Plan Dispute

The Labor Department reached a $5.5 million deal in a dispute with a New York skin doctor who allegedly caused his practice’s employee stock ownership plan to buy its stock above its fair market value (Acosta v. Ginsberg, S.D.N.Y., No. 1:15-cv-00985, proposed consent order and judgment 7/21/17).

If approved, the settlement will end a two-year dispute involving the DOL; Dr. Roy G. Geronemus, who owned the Laser and Skin Surgery Center of New York; and his accountant Samuel Ginsberg, who was the ESOP trustee. Under the settlement, Geronemus agreed to make a one-time cash payment of $5 million ...