Employer Not Responsible For Stock Fall: Judge

Law360, New York (March 29, 2007, 12:00 AM EDT) -- A federal judge has dismissed a class action launched by 1,800 former Indianapolis Power & Light Co. employees, ruling against their claims that the public utility violated its fiduciary duties related to their retirement plans.

The retired employees alleged that the company violated its duty by allowing the stock in their 401(k) plans to drop dramatically after AES Corp. acquired Indianapolis Power’s parent company, IPALCO Enterprises Inc. Their funds were substantially smaller by the time they stopped working.

However, Judge David Hamilton on Wednesday found that...
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