Guest rslagle224 Posted October 15, 2001 Posted October 15, 2001 Here is the situation: A plan trustee stole the entire plan's deferral money and ran away. He was later tracked down and forced to pay everything back. The court then made us, the TPA, trustee of the plan. There were 14 people that we have been trying to track down. We used the IRS and they located six of the 14 people we were trying to track down. Here is the quesiont: What do we do about the remaining 8 or so non locatable ees? Our idea was to set up a Bank a/c in their name in which the money would escheat to the state after a certain number of years. Is this a possibility? A second possibility we came up with was to just leave the plan open, which we don't want to do. Is this a good option for us? Are there any other options out there for us to persue to take care of these employees?
david rigby Posted October 15, 2001 Posted October 15, 2001 If you are terminating the plan, you cannot "leave it open", both from a practical perspective and regulatory perspective. You may find some help on the Message Boards by using the Search function. Here are some places to look: http://benefitslink.com/boards/index.php?showtopic=10784 http://benefitslink.com/boards/index.php?showtopic=10534 I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.
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