Maersk, John Hancock Sued Over 401(k) Plan Fixed Annuity Fund

Maersk Inc. mismanaged its employees’ 401(k) plan by offering a subpar fixed annuity investment from the plan’s trustee, according to a federal lawsuit alleging up to $22 million in losses.

The container shipping company is accused of allowing up to $97 million of its 401(k) plan assets to be invested in a fixed annuity fund from John Hancock Trust Co., which served as the plan’s trustee and investment manager, despite the fund’s unreasonably low rate of return. Maersk “obfuscated and hid” key details about the fund and its conflicted relationship with John Hancock, according to the complaint, which was ...