Check-Cashing Company’s Receiver Put on Hold : Money: Judge orders payment delay pending a closer look at finances. The firm is accused of taking deposits, acting as a bank.

While a score of worried immigrants watched anxiously Thursday, a Superior Court judge delayed $160,000 in payments to the receiver of a Costa Mesa check-cashing center until the outfit’s finances can be sorted out.

Judge Nancy Weiben Stock decided to delay most of the fees and expenses sought by the receiver of Izalco Express Services after an attorney for the former owner challenged the request.

Jennifer Feres, attorney for former owner Roger Oscar Vega, argued that the fees would further deplete funds for hundreds of working-class immigrants who deposited $1.4 million in savings accounts at Izalco.

An attorney for receiver Dennis I. Simon said the charges and fees are proper.

The check-cashing center was placed in the hands of a receiver after an inquiry by the state in February brought the illegal practice of accepting deposits to light. The state filed a lawsuit against Vega, alleging that he was running an illegal bank. A trial is pending.

As of April 30, Izalco had $563,000 left, including $175,000 from the sale of the business to a new operator.

Stock said she will wait while the receiver tries to locate as many of the more than 800 depositors as possible before issuing a ruling about expenses. Depositors have until Aug. 31 to file with the receiver.

Some of the depositors attending the hearing said they are miffed that they are not represented at the hearings. “We need a voice,” said Luis Camara, whose brother, Mario, is attempting to recover some of the $3,300 he had saved at Izalco.

While depositors are supposed to get the remaining proceeds, attorneys said it appears there won’t be much left. Even the judge acknowledged as much, saying that the center’s financial condition presents “an extremely grim picture.”