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The U.S. Secretary of Labor has filed suit against Philadelphia litigation firm Harvey Pennington, alleging the firm, its managing owner and another shareholder mishandled employees’ 401(k) contributions in violation of the Employee Retirement Income Security Act of 1974.

The seven-page complaint, filed by U.S. Labor Secretary Hilda L. Solis and the U.S. Department of Labor in the U.S. District Court for the Eastern District of Pennsylvania on Wednesday, alleges Harvey Pennington, along with its managing owner Ernest J. Bernabei III and shareholder Frederick M. Walton Jr., the co-trustees of the firm’s profit-sharing 401(k) plan, mixed plan contributions deducted from employees’ pay with the firm’s general assets.

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