Is there any way to force a distribution for over $5000 account

[Guest mpark]

A participant who was a previous 5% shareholder has retired under early retirement provisions. He is eligible to receive his benefit now based both on early retirement and the fact that he broke service. Account balance is about $1.0 M.

Participant is refusing distribution. Other shareholders want the distribution to take place. Is there any way (other than waiting for participant to turn 70 1/2) to force participant to take distribution?

This is a Profit Sharing Plan that was merged with a previous Money Purchase Pension Plan. Normal form of benefit is J&S.

Thank you

[rcline46]

Terminate the plan. However there may be ramifications to that also.

[E as in ERISA]

Based on last year's DOL bulletin and this year's IRS ruling, they may be able to charge the terminated participant's account for his share of the plan expenses. Plan expenses are generally higher than IRA expenses, so the participant may decide to get out of the plan.....

[Harwood]

Many plans mandate cash outs for terminees who have reached the plan's Normal Retirement Age, or age 62 if greater. No consent is needed, only information about rollover rights. Check the plan document.