- 8 -
Petitioner adopted the plan originally to provide pension
benefits for employees covered under the management contract.
By the end of 1985, the Shedds were the only active participants
in the plan. Mr. Estes received the final distribution of his
vested accrued benefit from the plan no later than December 31,
1986. Mr. Shedd began receiving distributions from the plan when
he retired from petitioner during 1986. Mrs. Shedd retired from
petitioner during 1990, and she began receiving distributions
from the plan at that time. At various times from plan years
ended September 19, 1987 through 1993, the Shedds' children and
their spouses participated in the plan, and they have received
any vested benefit to which they were entitled.
After his retirement from Estes Co., Mr. Shedd was not
consulted about Estes Co.'s new loans, new projects, or ongoing
projects. However, he was invited to, and often attended,
quarterly meetings of the executives of Estes Co., and he was
privy to their plans as well as to Estes Co.'s financial
condition. On request, he was provided copies of Estes Co.'s
financial statements.
Mr. Shedd has been a trustee of the plan since its
inception, and he was its sole trustee after the plan was amended
and restated. Mr. Estes and Mr. Grove served as trustees of the
plan from its inception until 1985.
Section 8.3 of the plan agreement states as follows:
8.3 LIMITATION ON TRUSTEE'S POWERS. The Trustee's
powers under the foregoing provisions of this section
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011