Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.
Benefits March 12, 2012
Long Island CEO Accused of Stealing from 401(k)
March 12, 2012 (PLANSPONSOR.com) - Suffolk County (New York) prosecutors say a Long Island CEO looted his employees' retirement accounts and bought expensive cars with the money.
Reported by Rebecca Moore
District Attorney Thomas Spota said Om Soni of Sonix Medical Resources diverted $278,000 from the company’s 401(k), with part of the money going to buy a Bentley and a Mercedes-Benz, the Associated Press reports. Soni already owned another Bentley, another Mercedes and a Lamborghini.
Sonix Medical Resources went bankrupt in 2010.
Soni pled not guilty. His lawyer said Soni used his own money to prop up the company and that the cars had nothing to do with any missing funds, according to the news report.