Zamansky LLC Investigates Caterpillar’s 401(K) Plan for Possible ERISA Violations Relating to the Alleged ERA Mining Fraud
Zamansky LLC announces that it has commenced an investigation over Caterpillar Inc.’s 401(k) Plan over possible violations of the Employee Retirement Income Security Act (“ERISA”), in connection with the EMA Mining acquisition. Any current or former Caterpillar employees who purchased stock from June 2012 through January 2013 may be eligible.
Zamansky LLC announces that it has commenced an investigation over Caterpillar Inc.’s 401(k) Plan. According to the Plan’s Annual Report filed with the SEC on June 24, 2012, available at http://www.sec.gov, there was $3 billion invested in company stock. The investigation concerns whether there were violations of the Employee Retirement Income Security Act (“ERISA”) by the Plan fiduciaries, in connection with the EMA Mining acquisition.
On January 18, 2013, Caterpillar issued a press release announcing that it had “uncovered deliberate, multi-year, coordinated accounting misconduct concealed at [ERA Mining Machinery Limited],” a company which it acquired in June 2012 through a tender offer. As a result, Caterpillar announced that it was taking “a non-cash goodwill impairment charge of approximately $580 million, or $0.87 per share,” for the fourth quarter.
“Caterpillar employees who purchased company stock in the 401(k) Plan after the ERA acquisition but before news of the accounting fraud, may have done so at artificially inflated prices,” according to stock fraud attorney Jacob Zamansky. The investigation concerns whether the Plan fiduciaries breached duties owed to Caterpillar employees through the due diligence failures which resulted in this announcement and write-down, according to Zamansky.
What Former or Current Caterpillar Employees Can Do
If you are a Caterpillar employee or former employee who purchased stock from June 2012 through January 2013 through the 401(K) Plan, and would like to discuss your legal rights, you may, without obligation or cost to you, email email@example.com or call the law firm at (212) 742-1414.
To learn more about Zamansky, please visit our website, http://www.zamansky.com.
About Zamansky LLC
Zamansky LLC is one of the leading securities fraud law firms specializing in securities class actions and securities arbitration, and ERISA class action litigation. We are stock fraud attorneys who represent both individual and institutional investors. Our practice is nationally recognized for our ability to aggressively prosecute cases and recover losses.
Zamansky LLC, LLC
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Jake Zamansky, 212-742-1414