A client of mine has had a small claims judgement issued in his favor against an employee who embezzled funds from him.

Two questions:

Is the employer allowed to use the former employees vested profit sharing balance to satisfy this judgement?

If so, is he required to "withhold" 20% federal taxes before "distributing" the account to the Company to satisfy the debt?

Thanks....

Try a search on the word "embezzle" or similar words. There are 2 or 3 messages where this has been discussed.