Sutherland Global Hit With Class Suit Over 401(k) Fees, Funds

Four participants in the Sutherland Global Services Inc. 401(k) plan accuse the company of filling the plan with expensive and poorly performing investment options, according to a proposed class action complaint filed Nov. 13 in the Western District of New York.

The company’s $57 million 401(k) plan carried excessive annual administrative fees of about $120 per participant and offered expensive retail class mutual funds when identical investor class funds were available at lower cost, the complaint alleges.

The lawsuit raises claims under the Employee Retirement Income Security Act against Sutherland, the investment manager of its 401(k) plan, and several Sutherland ...