Government funds/cash items?

We recently had a woman cash a few bad checks at our bank that added up to a relatively substantial amount. She gets SSI and SSDI at the beginning of the month. We were wondering if the bank is allowed to take her SSI and/or SSDI to cover the checks in cash items? Our compliance officer has yet to find a straight answer on this regarding it.

It's kind of a moot point, as she did pick the checks up the other day, but it would be nice to know for future reference whether this is allowed or not.

Thanks in advance!

Straight answer: No.

Thank you, Ken!