March 11, 2011 – A nationwide shareholder derivative suit has been filed by the class action attorneys from Levy Konigsberg LLP on behalf of five shareholders suing The Hartford Group mutual funds over excessive shareholder-service fees.
A nationwide shareholder derivative suit has been filed by the class action attorneys from Levy Konigsberg LLP on behalf of five shareholders suing The Hartford Group mutual funds over excessive shareholder-service fees.
NEW YORK, New York, March 11, 2011 – Class action attorneys at Levy Konigsberg LLP have filed a nationwide derivative action against Hartford Investment Financial Services, LLC (“HIFSCO”), on behalf of five shareholders who are invested in the Hartford Global Health Fund, the Hartford Conservative Allocation Fund, the Hartford Growth Opportunities Fund, the Hartford Inflation Plus Fund, the Hartford Advisers Fund, and the Hartford Money Market Fund for breach of its fiduciary duty under Section 36(b) of the Investment Company Act of 1940 for collecting excessive service fees. The complaint was filed in the U.S. District Court for the District of New Jersey on March 4, 2011.
The complaint alleges that HIFSCO’s fees are a breach of its fiduciary duty because HIFSCO charges fees for services that it either does not provide, or that provide no benefit for the mutual fund shareholders, while only benefitting HIFSCO.
Like roughly 90 million Americans who are planning ahead for retirement, the plaintiffs in this derivative action had invested in the Hartford mutual funds through their employer-sponsored Simple IRA program. Because of the excessive management and distribution fees (known as 12b-1 fees) that HIFSCO charges and receives in connection with the plaintiffs’ investments in the funds, however, the plaintiffs’ (and all Hartford Fund shareholders’) retirement benefits have been and continue to be diminished by staggering amounts.
Class action attorney Moshe Maimon, the lead plaintiffs’ attorney handling the case at Levy Konigsberg LLP estimates that there could be thousands of Hartford mutual fund shareholders who fell victim of the defendants’ actions.
To identify and get in touch with potential members in this derivative action, Levy Konigsberg LLP has established a 24/7 hotline at 1-800-988-8005.