WATCH: Washington state ordered to repay $120 million in skimmed teacher pension funds

(The Center Square) – More than 26,000 Washington state public school teachers finally won a decades-long class action lawsuit last week, in a fight over their retirement accounts.

Thurston County Superior Court entered a final order last Thursday, June 25, siding in favor of the teachers in their case against the Washington State Department of Retirement Systems.

The order requires DRS to return about $120 million of skimmed interest and investment returns into the retirement accounts of current and former teachers enrolled in the state retirement plan called TRS Plan 3.

“The Department of Retirement Systems promised these people when they were in Plan 2, five-and-a-half percent interest calculated annually,” said Steve Strong of Stobaugh & Strong, P.C., attorney for the plaintiffs who originally filed the case back in 2003.

He explained when most teachers in Plan 2 transferred to Plan 3, they did not receive the earned interest they were promised.

“When...