SIMPLE IRA and controlled Group

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Company A maintains a 401(k) Plan on 9/12/2012 Company A purchased Company B - now we have a controlled group.

Company B maintains a SIMPLE IRA

Since the SIMPLE was not terminated prior to 1/1/2014, it is my understanding the SIMPLE Plan must continue for the entire 2014 Plan Year. Once terminated since the particiapnts have been in the SIMPLE for more than 2 years, they can roll their account balance to the 401(k) Plan.

1. is there an issue that one company has a SIMPLE and one has a 401(k) Plan?

2. Can the employees in Company B stop their SIMPLE IRA contribution, join Company A's 401(k) and defer up to $17,500 ( reduced by the contributions made to the SIMPLE). Then in November of 2014 the Employer will notify employees of Company B the SIMPLE Plan is terminated

The goal of the employer is to get everyone under one plan ( the 401(k)) for 2014.. Any suggestions???

Thanks