CBO Glass Faces Lawsuit
April 3, 2012

by Sahely Mukerji, smukerji@glass.com

The International Painters and Allied Trades Industry Pension Fund has filed a suit against CBO Glass of Alden, N.Y., and two of the company's officials, Gilbert DiMaio, president and CEO, and Paul F. Hogan, principal, alleging that the company has "failed to pay amounts due under the Labor Contracts, Trust Agreements and Plan." The suit was filed on March 30.

"In order to resolve a delinquency, on or about November 14, 2011, Lawrence Gildersleve, vice president and CFO of CBO Glass signed a promissory note on behalf of the companies pursuant to which the funds and companies agreed that the companies owed the fund $319,650.42 in contributions, interest and liquidated damages for the period of May 2011 through August 2011," alleges the complaint. " … Companies defaulted on the note by failing to submit the settlement installments and by failing to submit remittance reports and contributions for the period of December 2011 through February 2012."

"Based on information currently available to the ERISA Funds, [the] companies have failed to pay amounts due under the Labor Contracts, Trust Agreements and Plan from May 2011 to February 2012 in at least the sum of $472,813.83 in violation of 29 U.S.C. §1145," the documents state.

The plaintiffs ask that the court: "(1) require individual defendants to correct the prohibited transaction; (2) require individual defendants to make good to the plan any losses resulting from each such breach and to restore to such plan any profits of such fiduciary which have been made through use of assets of the plan by the fiduciary; and (3) grant any other equitable, remedial or other relief as the law permits and the court may deem appropriate."

CBO officials were not available at press time to make a comment.

This story is an original story by USGlass magazine/USGNN™. Subscribe to USGlass magazine.
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