My clients parents had their retirement distributions taken out weekly by their granddaughter fraudulently. It was reported to the police and their entire retirement was drained in a matter of 6 months without them knowing. The bank never notified them of suspicious activity and wouldn't do anything about it. Now the IRS has billed them over 10K for those distributions they never authorized. My client contacted the IRS and they said there's nothing they can do. They also sent a letter saying this could possibly be a casualty and theft deduction on form 4684. How would that be reported? As an investment loss? Or is there something else that can be done.