AME Church & Newport Group $60M Retirement Fund Settlement

Update: The AME Church Ministerial Retirement Annuity Plan settlement received final approval on Aug. 18, 2025.

Participants or beneficiaries entitled to benefits from the African Methodist Episcopal Church Ministerial Retirement Annuity Plan as of June 30, 2021, may qualify to submit a claim for a payment from a class action settlement.

The African Methodist Episcopal Church and Newport Group Inc. agreed to pay a combined total of $60 million to settle a class action lawsuit alleging breach of fiduciary duty, negligence, fraudulent concealment, fraudulent misrepresentation, breach of contract, civil conspiracy, aiding and abetting breach of fiduciary duty, and professional negligence related to the management of the AME Church Ministerial Retirement Annuity Plan.

Who is eligible to receive a settlement payment?

Class members meet one of the following criteria:

• They were a participant in the African Methodist Episcopal Church Ministerial Retirement Annuity Plan as of June 30, 2021.
• They were a beneficiary entitled to benefits from the Plan as of June 30, 2021.

How much is the class action payout?

Pro rata cash payment: The settlement administrator will determine the payment amount using each class member's account balance as of June 30, 2021, and other factors, such as the settlement fund amount after expenses and costs.

No action required to receive a class action settlement payment

• Class members do not need to take any action to receive a settlement payment.
• The African Methodist Episcopal Church will automatically deposit settlement funds into a qualified trust it establishes after the court grants final approval of the settlement.
• Eligible class members will receive full or partial distributions based on their individual eligibility criteria.

$60 million settlement fund breakdown

The settlement fund of $60,000,000 million includes:

• Attorneys' fees: Up to $20,000,000
• Attorneys' expenses: Approximately $1,200,000
• Settlement administration costs: To be determined
• Service awards to class representatives: $20,000 per named plaintiff
• Payments to class members: Remaining settlement funds

Important dates

• Deadline to opt out: June 6, 2025
• Fairness hearing: June 26, 2025

When is the AME Church employee retirement fund settlement payout date?

The AME Church will deposit settlement funds into the qualified trust after the court grants final approval of the settlement. Class members will be notified once their funds are transferred.

Why was this class action lawsuit filed?

Participants of the AME Church Ministerial Retirement Annuity Plan filed the class action lawsuit against the AME Church and Newport Group Inc., alleging mismanagement of retirement funds.

The defendants denied these allegations and maintain that no wrongdoing occurred but agreed to settle to avoid further litigation and a trial.

Sources

1. Settlement FAQ
2. Important dates and deadlines