Current as of: February 2010 (a) Investigatory authority; audit of statistically significant
number of terminating plans
The corporation may make such investigations as it deems
necessary to enforce any provision of this subchapter or any rule
or regulation thereunder, and may require or permit any person to
file with it a statement in writing, under oath or otherwise as the
corporation shall determine, as to all the facts and circumstances
concerning the matter to be investigated. The corporation shall
annually audit a statistically significant number of plans
terminating under section 1341(b) of this title to determine
whether participants and beneficiaries have received their benefit
commitments and whether section 1350(a) of this title has been
satisfied. Each audit shall include a statistically significant
number of participants and beneficiaries.
(b) Discovery powers vested in board members or officers designated
by the chairman
For the purpose of any such investigation, or any other
proceeding under this subchapter, the Director, any member of the
board of directors of the corporation, or any officer designated by
the Director or chairman, may administer oaths and affirmations,
subpena witnesses, compel their attendance, take evidence, and
require the production of any books, papers, correspondence,
memoranda, or other records which the corporation deems relevant or
material to the inquiry.
(c) Contempt
In the case of contumacy by, or refusal to obey a subpena issued
to, any person, the corporation may invoke the aid of any court of
the United States within the jurisdiction of which such
investigation or proceeding is carried on, or where such person
resides or carries on business, in requiring the attendance and
testimony of witnesses and the production of books, papers,
correspondence, memoranda, and other records. The court may issue
an order requiring such person to appear before the corporation, or
member or officer designated by the corporation, and to produce
records or to give testimony related to the matter under
investigation or in question. Any failure to obey such order of the
court may be punished by the court as a contempt thereof. All
process in any such case may be served in the judicial district in
which such person is an inhabitant or may be found.
(d) Cooperation with other governmental agencies
In order to avoid unnecessary expense and duplication of
functions among government agencies, the corporation may make such
arrangements or agreements for cooperation or mutual assistance in
the performance of its functions under this subchapter as is
practicable and consistent with law. The corporation may utilize
the facilities or services of any department, agency, or
establishment of the United States or of any State or political
subdivision of a State, including the services of any of its
employees, with the lawful consent of such department, agency, or
establishment. The head of each department, agency, or
establishment of the United States shall cooperate with the
corporation and, to the extent permitted by law, provide such
information and facilities as it may request for its assistance in
the performance of its functions under this subchapter. The
Attorney General or his representative shall receive from the
corporation for appropriate action such evidence developed in the
performance of its functions under this subchapter as may be found
to warrant consideration for criminal prosecution under the
provisions of this or any other Federal law.
(e) Civil actions by corporation; jurisdiction; process;
expeditious handling of case; costs; limitation on actions
(1) Civil actions may be brought by the corporation for
appropriate relief, legal or equitable or both, to enforce (A) the
provisions of this subchapter, and (B) in the case of a plan which
is covered under this subchapter (other than a multiemployer plan)
and for which the conditions for imposition of a lien described in
section 1083(k)(1)(A) and (B) of this title or section 430(k)(1)(A)
and (B) of title 26 have been met, section 1082 of this title and
section 412 of title 26.
(2) Except as otherwise provided in this subchapter, where such
an action is brought in a district court of the United States, it
may be brought in the district where the plan is administered,
where the violation took place, or where a defendant resides or may
be found, and process may be served in any other district where a
defendant resides or may be found.
(3) The district courts of the United States shall have
jurisdiction of actions brought by the corporation under this
subchapter without regard to the amount in controversy in any such
action.
(4) Repealed. Pub. L. 98-620, title IV, Sec. 402(33), Nov. 8,
1984, 98 Stat. 3360.
(5) In any action brought under this subchapter, whether to
collect premiums, penalties, and interest under section 1307 of
this title or for any other purpose, the court may award to the
corporation all or a portion of the costs of litigation incurred by
the corporation in connection with such action.
(6)(A) Except as provided in subparagraph (C), an action under
this subsection may not be brought after the later of -
(i) 6 years after the date on which the cause of action arose,
or
(ii) 3 years after the applicable date specified in
subparagraph (B).
(B)(i) Except as provided in clause (ii), the applicable date
specified in this subparagraph is the earliest date on which the
corporation acquired or should have acquired actual knowledge of
the existence of such cause of action.
(ii) If the corporation brings the action as a trustee, the
applicable date specified in this subparagraph is the date on which
the corporation became a trustee with respect to the plan if such
date is later than the date described in clause (i).
(C) In the case of fraud or concealment, the period described in
subparagraph (A)(ii) shall be extended to 6 years after the
applicable date specified in subparagraph (B).
(f) Civil actions against corporation; appropriate court; award of
costs and expenses; limitation on actions; jurisdiction; removal
of actions
(1) Except with respect to withdrawal liability disputes under
part 1 of subtitle E of this subchapter, any person who is a
fiduciary, employer, contributing sponsor, member of a contributing
sponsor's controlled group, participant, or beneficiary, and is
adversely affected by any action of the corporation with respect to
a plan in which such person has an interest, or who is an employee
organization representing such a participant or beneficiary so
adversely affected for purposes of collective bargaining with
respect to such plan, may bring an action against the corporation
for appropriate equitable relief in the appropriate court.
(2) For purposes of this subsection, the term "appropriate court"
means -
(A) the United States district court before which proceedings
under section 1341 or 1342 of this title are being conducted,
(B) if no such proceedings are being conducted, the United
States district court for the judicial district in which the plan
has its principal office, or
(C) the United States District Court for the District of
Columbia.
(3) In any action brought under this subsection, the court may
award all or a portion of the costs and expenses incurred in
connection with such action to any party who prevails or
substantially prevails in such action.
(4) This subsection shall be the exclusive means for bringing
actions against the corporation under this subchapter, including
actions against the corporation in its capacity as a trustee under
section 1342 or 1349 (!1) of this title.
(5)(A) Except as provided in subparagraph (C), an action under
this subsection may not be brought after the later of -
(i) 6 years after the date on which the cause of action arose,
or
(ii) 3 years after the applicable date specified in
subparagraph (B).
(B)(i) Except as provided in clause (ii), the applicable date
specified in this subparagraph is the earliest date on which the
plaintiff acquired or should have acquired actual knowledge of the
existence of such cause of action.
(ii) In the case of a plaintiff who is a fiduciary bringing the
action in the exercise of fiduciary duties, the applicable date
specified in this subparagraph is the date on which the plaintiff
became a fiduciary with respect to the plan if such date is later
than the date specified in clause (i).
(C) In the case of fraud or concealment, the period described in
subparagraph (A)(ii) shall be extended to 6 years after the
applicable date specified in subparagraph (B).
(6) The district courts of the United States have jurisdiction of
actions brought under this subsection without regard to the amount
in controversy.
(7) In any suit, action, or proceeding in which the corporation
is a party, or intervenes under section 1451 of this title, in any
State court, the corporation may, without bond or security, remove
such suit, action, or proceeding from the State court to the United
States district court for the district or division in which such
suit, action, or proceeding is pending by following any procedure
for removal now or hereafter in effect.Legislative History ________________________________________________________________________
Questions & Answers: Employment BenefitsSee also: State Laws: Employment Benefits
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