Voya Employees’ 401(k) Self-Dealing Lawsuit Narrowed by Judge

A lawsuit accusing Voya Financial Inc. of mismanaging its workers’ 401(k) plan is moving forward after a federal judge trimmed several of the case’s claims.

Voya must face claims that it breached its fiduciary duties by adding the proprietary Small Cap Growth Trust Fund to its workers’ 401(k) plan after the fund had underperformed its benchmark for five years, the US District Court for the District of Connecticut said in a Tuesday opinion by Judge Omar A. Williams.

Plan participants also can press claims of prohibited transactions under the US Employee Retirement Income Security Act based on the company’s ...