Dell’s 401(k) Participants Sue Company

Law360, New York (October 4, 2006, 12:00 AM EDT) -- Beleaguered computer company Dell Inc. has come across yet another headache, this one the result of a proposed class action that accuses it of misleading its 401(k) participants.

According to the suit, filed Sept. 29 in the U.S. District Court in Austin, Texas, Dell violated the Employment Retirement Income Security Act by failing to disclose declining sales and profit margins and by artificially inflating the value of its fund.

For that reason, participants continued to invest in Dell common stock through their 401(k) plans when they...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.