Participants in the $1.6 billion Caesars Entertainment Corporation Savings & Retirement Plan are suing the casino operator and its investment consultant Russell Investment Management for allegedly breaching their fiduciary responsibilities and costing the plan more than $100 million.
The lead plaintiff is a current participant in Caesars’ retirement plan and has been a participant since 2014. According to the lawsuit, her account was invested in the State Street age-based fund for her age group until 2017, when the State Street option was removed from the plan and her account was transferred to Russell’s competing age-based fund.
The suit alleges that when Russell obtained control of the plan’s investment menu in 2017, the year Caesars emerged from bankruptcy, it promptly filled the plan with its own poorly performing proprietary funds.
