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Distribution to Husband/participant; Wife back in Mexico


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Guest PenProTx
Posted

Participant terminated service May 03, and still in Anaheim, CA area. We're pretty certain he's married, but wife is presumed to have gone back to Mexico. He came in about 6 months ago with his girlfriend pretending to be the wife, but was outed by one of the office staff who actually knew the wife.

No Divorce, No QDRO, etc. I am not comfortable paying him even 50% since we have no capacity to act as a family law judge. We're thinking about terminating the plan in the next several years, so folding into forfeitures won't really solve anything.

The distribution is $55,000 and 100% vested in a non-leveraged ESOP using a standard Corbel document.

What's a practical solution?

Posted

What is the problem? Most DC plans distribute to participants and spouses have nothing to do with it. Why are you not doing that, assuming he is eligible and has asked to be paid? Is J&S the normal form of benefit?

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