Glastonbury-based Investment Advisor Pays $1.26 Million to Settle Case

A Glastonbury investment adviser agree to pay $1.26 million to 13 pension plans to settle charges brought by the U.S. Department of Labor regarding improper disclosure of fees.

USI Advisors Inc. was investigated by the U.S. Department of Labor’s Employee Benenefits Security Administration after federal officials said they did not fully disclose its receipt of fees from clients that were covered under the Employee Retirement Income Security Act.

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Federal officials said the company didn’t use the fees to the benefit of the customers’ plans either by directly crediting the amounts to the plans or offsetting other fees the plans would have to pay the company, federal officials said. USI Advisors Inc. contends that it did notify the customers, but that the issue was whether the notification occurred in a timely manner.

The alleged violations occurred between 2004 and 2010, officials said. USI Advisors Inc. is owned by Goldman Sachs Capital Partners Co.

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