KRS 341.810: Surrender of property upon which levy made -- Effect of surrender or

failure to do so.

(1) Any person in possession of or obligated with respect to property or rights to

property subject to levy upon which a levy has been made shall, upon demand of the

secretary or his delegate, surrender such property or rights or discharge such

obligation to the secretary or his delegate, except such part of the property or rights

as is, at the time of such demand, subject to an attachment or execution under any

judicial process.

(2) Any person who fails or refuses to surrender any property or rights to property

subject to levy shall be liable in his own person and estate to the Commonwealth in

a sum equal to the value of the property or rights not so surrendered, but not

exceeding the amount of contributions, interest and penalties for the collection of

which such levy has been made, together with costs and interest on such and at the

rate of fifteen percent (15%) per annum from the date of such levy. Any amount

other than costs recovered under this subsection shall be credited against the subject

employer's liability for the collection of which such levy was made.

(3) Any person in possession of or obligated with respect to property or rights to

property subject to levy upon which a levy has been made who, upon demand by the

secretary or his delegate, surrenders such property or rights to property or discharges

such obligation to the secretary or his delegate shall be discharged from any

obligation or liability to the delinquent employer with respect to such property or

rights to property arising from such surrender or payment.