Alexis K

The new administrator told us we could transfer the assets out of the VEBA to a new one, if we could find one. A judge is involved because the previous administrator was fraudulently representing the VEBA, so it was taken away from him, the books were cleaned up by a law firm, and now we are free to leave that VEBA, if we want.

We have a defined benefit plan with only one employee in the corporation. We would like to terminate the defined benefit plan and roll the assets into an IRA. However, the assets are shares of a corporation in another country. Also real estate in the US. Our intention is to use an IRA custodian like PENSCO that can handle real estate in the portfolio. I know that we have to get the shares of this foreign corporation appraised for purposes of rolling the defined benefit plan into the IRA, but I don't know who it is that I should hire to assess the value of the foreign corporation. Any ideas?

Our corporation has a VEBA trust. There is one employee. There is a loan against the cash value of the whole life policy that is in the VEBA trust. A couple years ago, the IRS demanded that the administrator stop accepting funding because he was not keeping clean books. So, a judge turned it over to a law firm to clean things up, which they did. Now, the judge won't let us put any more assets into the VEBA, but in the mean time, there is still this loan, which is accruing interest, which we are not allowed to pay, because it would constitute adding assets to the trust. (We specifically had the VEBA administrators ask the judge about paying off the loan, and he said no.) So ... the only things in the trust are a whole life insurance policy and a loan. Thus, the VEBA is losing money every year because of the interest on the loan. Is it possible to transfer the VEBA into another VEBA so that we can continue to fund it (and pay off the loan)? We can't really cash our of the VEBA because the taxes would be insane and there is no cash in the VEBA with which to pay them. Finally, do you know of any VEBAs that are accepting transfers? Thanks! Alexis