What is the Action about?
In the Action, Plaintiffs claimed that Defendants breached their fiduciary duties under the Employee Retirement Income Security Act of 1974 (“ERISA”) by continuing to allow the investment of the Plan’s assets in El Paso stock during the Class Period at a time when, according to Plaintiffs, El Paso stock was an imprudent investment for the Plan. Plaintiffs also allege that Defendants violated ERISA by, among other things, : (1) permitting the Plan to purchase and hold shares of El Paso common stock during the Class Period when they knew or should have known it was imprudent to do so. Specifically, Plaintiffs alleged that (1) Defendants allowed the Plan to imprudently invest in El Paso stock when they knew or should have known that the Company’s value, financial and operational health, and future prospects were improperly inflated and unsustainable; (2) Defendants allowed the Plan to maintain and augment its investment in El Paso stock, despite their actual or constructive knowledge that
