Benefits & Executive Compensation News

Citigroup Workers Win Class Certification in 401(k) Lawsuit

Nov. 27, 2017, 9:17 PM

Citigroup Inc. workers won class-action treatment in their lawsuit accusing the company of placing its own mutual funds in the company’s 401(k) plan despite knowing that those funds carried higher administrative fees than comparable alternatives.

The class certified Nov. 27 by Judge Sidney H. Stein of the U.S. District Court for the Southern District of New York may include as many as 189,470 individuals who participated in the plan as of 2005 and who invested in any of the nine affiliated funds during the class period (Leber v. Citigroup Inc., S.D.N.Y., No. 1:07-cv-09329-SHS, order granting plaintiffs’ motion for class certification 11/27/17

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