Hi ​@JimPaz, welcome to the Box Community!

This deletion issue is likely caused by your enterprise having the Governance product. Even if the user's content is not retained, our system prevents content from being moved to trash without being transferred first.
 

If these managed users own content, please try transferring it to another user/s before deleting the managed users (Deleting Managed Users). If you attempt to delete the users’ content directly, you will run into that error.

If you transfer the content and are still facing the error, please submit a ticket to our Product Support team with the email addresses of the managed users for further investigation.

Thanks, and have a great day! 

Thank you very much Jey,

We are checking through our governance  configuration.

Thank you again Jey,

That did solve  our problem.

That’s awesome —so glad to hear we tracked down the root cause and you got it sorted out internally!

If anything else comes up or you have more questions, don’t hesitate to reach out—we’re always happy to help!