If I add multiple subcategories, eventually they start displaying improperly, as if they are not nested within their parent category but rather on the same level as their parent.
My previous employee modified the admin layout, so the problem is occurring there as well as in the themed front-end layout.
If I revert the front-end to the default layout, the Show All Categories listing is formatted properly.
I cannot seem to find the code where this is happening. Could someone point me in the proper direction?
Admin Panel - Themed/Modified

Front End - Default Theme

In the modified layout, I can swap positions of two categories (say "VoIP" and "Client Support") and they still display improperly ("VoIP would then be on the same level as "Harbor Corporate KB" and "Client Support" would be properly nested under "Harbor Corporate KB"). I am not using cut and paste, however I have tried that as well and they still display improperly.
Any ideas as to where this is going wrong?
Best regards,
--Jason