SunTrust Faces ERISA Suit Over Subprime Loss

Law360, New York (September 2, 2008, 12:00 AM EDT) -- SunTrust Banks Inc. and 20 company officers and executives are facing a class action accusing them of investing employee retirement benefits in company stock despite substantial investment risks stemming from the bank's subprime exposure.

In a complaint filed Monday in the U.S. District Court for the Southern District of Florida, three participants in the bank's 401(k) retirement savings plan accused SunTrust of breaching its fiduciary duty under the Employee Retirement Income Security Act.

Paul J. Hellman, Betty L. Pickens and Phyllis Reagan claim that the bank's...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.