Two participants in the Casino Queen Employee Stock Ownership Plan have filed a class-action lawsuit against CQ Holding Co., East St. Louis, Ill., and other fiduciaries alleging they violated their duties in the management of the ESOP.
The lawsuit, filed Monday in U.S. District Court in East St. Louis, alleges the company's board of directors and the ESOP's administrative committee violated their duties under the Employee Retirement Income Security Act of 1974 by approving $170 million in debt the ESOP took on to purchase Casino Queen stock, when it was created in 2012 to make Casino Queen a wholly employee-owned company.
'Casino Queen employees were forced to invest their employer-sponsored retirement savings in Casino Queen stock at a price and terms approved by the ESOP trustee without employee input,' according to the filing. The lawsuit also alleges that employees did not learn that the ESOP purchased Casino Queen until after the purchase price was agreed to and the transaction completed.
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Two participants in the Casino Queen Employee Stock Ownership Plan have filed a class-action lawsuit against CQ Holding Co., East St. Louis, Ill., and other fiduciaries alleging they violated their duties in the management of the ESOP.
The lawsuit, filed Monday in U.S. District Court in East St. Louis, alleges the company's board of directors and the ESOP's administrative committee violated their duties under the Employee Retirement Income Security Act of 1974 by approving $170 million in debt the ESOP took on to purchase Casino Queen stock, when it was created in 2012 to make Casino Queen a wholly employee-owned company.
'Casino Queen employees were forced to invest their employer-sponsored retirement savings in Casino Queen stock at a price and terms approved by the ESOP trustee without employee input,' according to the filing. The lawsuit also alleges that employees did not learn that the ESOP purchased Casino Queen until after the purchase price was agreed to and the transaction completed.
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Casino Queen Lawsuit Settlement
Two former Casino Queen employees are suing the old owners of the casino and the hotel, shown here, alleging they inflated the price of the casino in a 2012 sale to employees. The ex-workers' April lawsuit claims they and other Casino Queen employees were cheated out of 'tens of millions of dollars' after their retirement plan severely overpaid for CQ Holding's stock in. Liability action against the defendant, Casino Queen, Inc., seeking to recover for personal injuries and loss of consortium allegedly suffered when David slipped and fell on a puddle of liquid in the men's bathroom, hitting his head and suffering a traumatic brain injury, resulting in severe disabling bipolar depression and chronic headaches. CASINO QUEEN INC. Annual Owner Licensee Disclosure Information - 2014 Response to Section 5.1 (Disclosure of Records) of the Riverboat Gambling Act Section 5.1(a) 1 - The name, business address and business telephone number of any applicant or licensee. Casino Queen Inc. 200 South Front Street East St. Louis, Illinois 62201 Telephone: (618) 874. LOUIS — Two former Casino Queen employees have filed suit against the casino's old owners over the 2012 sale of the property that made it employee-owned. The plaintiffs, Tom Henseik and Jason Gill, allege the former owners of the Casino Queen Inc. Sold their stake in the company into an employee stock ownership program (ESOP) at a vastly inflated price and then kept the true.
Casino Queen Lawsuit Search
'As alleged in the complaint, the ESOP's fiduciaries concealed for years that the ESOP transaction was designed and executed to benefit the Casino Queen's prior owners and executives while providing only a hollow promise to employees,'Cohen Milstein Sellers & Toll, attorneys for the plaintiffs, said in a statement. 'It was not until October 2019 when employees were told that the company stock in their retirement accounts was nearly worthless. Our clients are committed to obtaining justice for themselves and their fellow participants in the Casino Queen ESOP who were harmed by this alleged misconduct.'
Casino Queen Lawsuit
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