Friday, April 20, 2007

Another 403(b) TPA Files Bankruptcy

QUADS Financial Group, Inc

Add Quadsweb to the list of third party administration firms that service 403(b) plans that have filed bankruptcy. Quadsweb was not a traditional TPA in the 403(b) sense and they didn't, as far as I know steal any money. They have been taken over by a conservator and are reorganizing under Chapter 11.

We can't put this failure in the same category as Plan Compliance Group, NEBSonline, and Flagship/Horizon as this entity was taken over before money could be stolen (not saying there was any attempt to steal money). However, its failure is further proof that districts need to take great care in who they do business with.

Scott Dauenhauer, CFP, MSFP, AIF
949-916-6238
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