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By JENNIFER LEARN-ANDES jandes@leader.net
Wednesday, March 19, 2003     Page: 3A

WILKES-BARRE – Luzerne County Retirement Board Solicitor Christopher Cullen
has mailed a stern response to a union head who questioned use of pension
money to investigate the pension fund.
   
United Food and Commercial Workers Local 1776 Northeast Director Tom Lazur
recently complained about the board’s use of up to $45,000 to hire a
Philadelphia law firm to conduct a forensic audit.
    Lazur called on someone from the board to challenge the expense.
   
“Could Local 1776 please identify for the board exactly whose interests
Local 1776 purports to represent?” Cullen wrote.
   
No retirees or other pension plan participants from the union have
complained about or questioned the retention of the Philadelphia firm,
Schnader Harrison Segal & Lewis LLP, Cullen wrote.
   
Local 1776 represents employees of the county-owned Valley Crest Nursing
Home.
   
Cullen also said it would be “helpful and undoubtedly supportive of Local
1776’s claims” if the union would give the board a copy of the list of the
“many pension experts and plan management consultants” cited in Lazur’s
letter.
   
Lazur wrote that these experts and consultants “are of the opinion that
the decision should be challenged as a prohibitive transaction representing a
breach of fiduciary responsibility on the part of the new retirement board
majority.”
   
Cullen said the “nationally recognized” Philadelphia firm was hired by
public vote at a public meeting. The board is waiting for a report/update on
the law firm’s findings.
   
“Perhaps it would be both wise and prudent for Local 1776 to exercise
patience and discretion and await the board’s receipt of the legal review,”
Cullen wrote.
   
Cullen said he won’t debate the contents of Lazur’s letter – “regardless
of how inaccurate or misinformed these arguments/statements may be” – because
Lazur isn’t a lawyer and letters aren’t the proper forum.
   
Local 1776 is free to take action if it “actually, seriously believes”
that there’s a need as stated in Lazur’s letter, Cullen wrote. “Please be
advised that the `doors of the courthouse’ are open to everyone.”
   
The Retirement Board also approved an explanatory question-and-answer sheet
about the $142 million pension fund that will be mailed soon to county
employees and retirees.
   
Lazur could not be reached for comment Tuesday.
   
Jennifer Learn-Andes, a Times Leader staff writer, can be reached at
831-7333.