Boston, Aug 16: The US department of labour has subpoenaed Tyco International as part of a probe of losses at its employee retirement funds, the conglomerate said on Thursday. Tyco said in a regulatory filing with the US Securities and Exchange Commission (SEC) that the Labor Department had served document subpoenas on it and the Fidelity Management Trust Company.
“The current focus of the department’s inquiry remains the losses allegedly experienced by the plans due to investments in our stock,” Tyco said, adding that it was fully cooperating with the inquiry.

Tyco said the Department of Labor has not yet said whether it will take any further action in the matter. Tyco noted the department has the authority to bring suit on behalf of the plans and their participants against those acting as fiduciaries to the plans for recovery of losses and additional penalties.
Fidelity Investments spokeswoman Anne Crowley said the company is responding to the subpoena. She said the company served as trustee and record keeper for the Tyco 401 (K) plan and acted in accordance with the plan sponsor’s instructions.

Officials at Tyco declined to comment on the disclosure. A spokesperson for the Department of Labor was not immediately available for comment. Suspicions over Tyco’s accounting have dogged the company over the past two years. Tyco’s stock fell last year amid a mushrooming criminal investigation against former Tyco leaders, including former chairman Dennis Kozlowski. Last month, Tyco chairman Edward Breen was forced to restate five and a half years of financial statements after saying such a move would be unnecessary.
Bureau Report