Dept. Of Labor Dogs Vick For $1.3 Million

March 26, 2009: Just when Michael Vick thought his troubles might be subsiding, the U.S. Department of Labor has filed a lawsuit alleging that Vick and others violated federal employee benefits law "by making a series of prohibited transfers" of more than $1.3 million from a pension plan sponsored by one of his companies. The department also simultaneously filed an adversary complaint in federal bankruptcy court to prevent Vick from discharging his alleged debt to the MV7 retirement plan. According to the DOL, MV7 was a celebrity marketing enterprise owned by Vick, who filed for Chapter 11 bankruptcy on July 7, 2008. The company sponsored a defined benefit retirement plan for nine current and former employees as of October 2008. The DOL's lawsuit, which was filed on March 25 in federal district court in Newport News, Va., allege that Vick "violated his duties as a plan trustee under the Employee Retirement Income Security Act by making a series of prohibited transfers from the plan for his own benefit. The plan assets were partially used to help pay the criminal restitution imposed upon Vick after his conviction for unlawful dog fighting as well as his attorney in the bankruptcy cases. From March 7, 2007-July 7, 2008, Vick made and caused $1.35 million in withdrawals from the retirement plan." The DOL said that Vick's former Vick financial advisors, Mary Wong and David Talbot, "allegedly participated in some of the transfers." "This action sends a message that the Labor Department will not tolerate the misuse of plan money and will take whatever steps necessary to recover the assets owed to eligible workers," Secretary of Labor Hilda L. Solis said in a statement. Back to Home Page