Issue with a rollover from a Merrill Lynch fund in a company 401k plan?
I have a friend who has a 401k plan with his company. He has invested in the merrill lynch retirement preservation trust fund. he has been told he cannot roll this fund over because of a bankruptcy. But he was able to roll over other funds that were ML related…Why would this fund be part of a court ordered hold? And why would he not be told upfront when this happened rather than when he was trying to roll it over?
BTW my friend was just told that he could not roll this fund over because of a court order on the ML fund due to a bankruptcy…evidently this fund is tied to a huge bankruptly proceeding involving a company that is about to default……Why would a judge hold this fund to where investors could not mover their investment out of it or notify the investors of this issue?