Empower Retirement LLC is facing a lawsuit over an allegedly fraudulent scheme in which it lures customers into high-cost accounts to secure additional advantages for itself, according to a filing in a Denver federal court.
The lawsuit, filed Friday, said Empower misrepresents its advisers as being objective, when their compensation is tied directly to enrolling participants into high-cost accounts operated by an Empower subsidiary.
Empower said in an email Monday that the allegations in the lawsuits are without merit. “We will defend the matter vigorously,” the company said. “We believe our products and services are compliant with the applicable rules ...
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