A co-owner of a sports agency was indicted in a civil lawsuit alleging five counts of breach of fiduciary including the theft of workers’ retirement plan assets.
Carl Poston, co-owner of Professional Sports Planning, Inc. and trustee of Professional Sports Planning, Inc.’s defined contribution profit-sharing plan, said, “I have directed the withdrawal of plan assets used to run the company. ‘ is claimed. According to a compliant document filed by U.S. Secretary of Labor Marty Walsh.
Walsh filed a civil lawsuit in the United States District Court for the Southern District of Texas under the Employee Retirement Income Security Act. According to the complaint, Walsh v. Poston et al..
“During the period on or about October 17, 2014 through on or about May 21, 2018, Defendants Carl Cardwell Poston III and Professional Sports Planning, Inc. purchased Planned Assets for non-Planned uses including: acquired, retained and used to finance the operations of Professional Sports Planning, Inc,” the complaint states.
Professional Sports Planning, a Houston-based professional athlete representation and negotiation service, did not respond to a request for comment.
The five alleged ERISA violations include:
- Do not operate the retirement plan solely in the best interests of its participants.
- Failure to carry out plans with the necessary care, skill, prudence, and diligence.
- Involvement in a transaction plan that the trustee knew or should have known was an ERISA violation.
- Process Plan assets for your own benefit or for your own account.When
- engage in any transaction related to the Plan on behalf of any party whose interests are contrary to the interests of the Trust and those of its participants and beneficiaries;
“Trustee breaches resulted in the following plan losses: (1) $111,414.10 of plans withdrawn for non-plan purposes between October 17, 2014 and May 21, 2018; assets,” the lawsuit states. “The trustee has recovered a portion of these withdrawn assets and the remaining amount owed to the plan is $76,768.45,(2) [l]Most of the opportunity costs that cannot be calculated until the planning assets have been restored and distributed to the participants. “
Plaintiffs are represented by Amy Hairston, Tribunal Counsel and Department of Labor at the Solicitor’s Office. It is unknown who is representing her Poston at this time.