If I own 2 business and the manager gets caught dealing at one, will my business and property be seized?

Question

I own a campground in SC, and one in texas, the one in SC is ran by my cousin, and I heard rumors that he could be dealing drugs. The campground is under a patenership, I own over 70percent, my grandparents and sister the rest. If my cousin gets busted, will my property and business be seized as well?

Answer 1

Is it possible, yes. Especially if the government can prove that you had some prior knowledge that it might be going on. However, is it likely that the government will try to grab it. Probably not. I used to work in banking and I cant tell you how many cars I used to repossess directly from the police impound yard for drug seisures. Only twice did the police try to seize the car and both times they were unsuccessful.

Answer 2

So your cousin only manages it and is not an owner? Seizing it would be difficult for law enforcement. But other things could come into play....... business license, bond, insurance and all of that could come into question. What if there are others about who are doing the same? They might and probably will shut you down. Sorting this all out could cost enough to the point that you never recover.

Its family so it gets sticky of course so it deends on the situation. It could just be rumors but hey..... if your asking you are probably sure enough. See if you can find someone else to manage it and when you do fire him.

Or the best thing to do is contact the local authorities and inform them of your concerns. This will show that you did something so you would not lose your property.

Family or not...... someone is in charge of your money and liability. He gets busted, someone falls, he is found with drugs, is drunk, whatever...... you will be making the 2 million dollar payout. If he appears to be the sort that may screw up he is a potential liability.

And if comes about with that one property insurance rates at the other one will go through the roof. Sometimes with family you have to make hard choices and some may be unpopular. But protecting your immediate family, grandparents and sister are most important. Nobody can fault one for this.

But as a word of caution..... make sure that you are just not getting this from some other family member. They may have something to gain.

Answer 3

If the courts can prove that it was purchased with money made from selling drugs. So if the family have documentation regarding the purchase make sure they get it ready to present, as the courts will ask for it. Good Luck

Answer 4

Typically employers are not liable for the criminal acts of their employees.

If you had no knowledge that illegal activities were occurring on your premises how can you logically be liable?

As long as you investigate these rumors for their veracity and take any corrective action, i.e. termination and reporting to the proper authorities. You most likely would not be held liable for the illegal acts.

Answer 5

Yes, they can. You are responsible for you employees and you know.

I suggest you immediately terminate your cousin and ban him from the premises. If you are not completely opposed to the idea of pressing charges do so.

Answer 6

yes they can even if you had no knowledge of it..they can even seize the property of an elderly person whos home nurse does the same without that employer knowing about it

Answer 7

You are responsible for your employees and what they are doing on that property (as well as thoes who are renting camp sites from you). You can loose your entire business if he is caught.

Answer 8

Feds could RICO it if they think you know about it and failed to act or are complicit.

Find another manager