Powers of attorney can be useful planning tools for individuals who want someone to responsibly manage their assets in the event they become incapable of looking after their own property. However, some unscrupulous individuals abuse their attorney status to steal the incapable’s assets.
Edmonton Police Service (“EPS”) investigator Det. Alfred Ma explains that victims of “POA theft” often struggle with accepting that their designated attorney, who is often a child, family member or close friend, would steal from them. Det. Ma further notes that POA theft often occurs in circumstances where the senior has lost the capacity to manage their own finances.
In one case, EPS detectives were contacted by a long-term care home regarding monthly payments for a senior’s accommodations and care. The senior’s family member was their attorney under their POA, and had been using his authority as attorney to e-transfer funds out of the senior’s account. The EPS’s investigation revealed that the family member had stolen more than $1 million from the senior via their POA. The family member was charged with fraud and theft over $5,000 via POA.
In the above case, authorities managed to catch the perpetrator while the incapable was still alive. However, the reality is that many incidents of “POA theft” go unreported, and only come to light after the victim has passed away.
The EPS has recently launched a public education campaign aimed at teaching seniors how to prevent theft via their power of attorney, which includes a 15-second commercial set to air on local television stations.
The EPS’s campaign appears to be one-of-a-kind, and could serve as a precedent for other Canadian jurisdictions who wish to raise awareness of the issue as well.
Thank you for reading and have a great day!
Sources
“EPS Senior Protection Unit launches new Power of Attorney theft awareness campaign”, Edmonton Police Service (9 November 2023), online.
Jennifer Ivanov, “Edmonton police caution seniors about power-of-attorney theft”, Global News (9 November 2023), online.