High Court Won’t Hear Case Involving Nondisclosure Of Investment Adviser Fraud

WASHINGTON, D.C. – The U.S. Supreme Court on Jan. 9 declined to review a Sixth Circuit U.S. Court of Appeals opinion affirming summary judgment in favor of a 401(k) plan’s directed trustee on participants’ claim that they suffered losses because the trustee failed to inform them of their investment adviser’s fraudulent activities, finding that the participants presented insufficient evidence that the trustee knew of the adviser’s fraud (David H. Tullis, et al. v. UMB Bank, N.A., et al., No. 11-408, U.S. Sup.).

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