My friend is in a nursing home- he gave power of attorney to a friend, his friend told the nursing home that my friend had no money.

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and no property, but with this power of attorney he sold his house and was incharge of his Three savings account, andis buying up property in his own name. and my friend does't relize this and think that he has still alot of money. What should I do?


Call your local Council on Aging in your area. They would be able to tell you what to do. Let us know how things go.
I agree with speak1104. But as a matter of ethics, this should not be disregarded. In the end when people chose to do these kind of things, we all "pay". When this is found out the money will have to be replaced. If this person did this knowingly, would be part of the question.. But when he was asked if this friend had money, he must have been aware. So he will have to "pay the piper" so to speak, when this all gets out in the open. It is unfortunate that his friend trusted him and he abused his trust.
This in plain and simple terms is called Elder Abuse!
Contact an Elder Law Attorney in your area. This is an abuse of POA as I understand it.
Excellent comment Hannah44. I am in a family situation myself, that there are some very subtle things going on. The person that was designated as the POA is acting as a guardian. These are 2 different things. I am a professional and am mandated by law to report these things. I am working with one of my siblings in seeing that we attempt to correct this, because the person will not speak to me. If this fails, then we both because we are mandated will have to report what is happening. Be on the lookout, because many times this can be a very subtle thing , and not very obvious! Elder Abuse - it is all of our responsibility - report it!!!!!!!!
How is the NH being paid?
Is it possible that the friend with POA is dissolving your friends assets so that he will be eligible for Medicaid in the future. Have you thought about confronting him?
Albees, this possible case of abuse of POA access and subsequent elder abuse can be reported to the Nursing Home facility social worker but don't stop there. Contact Adult Protective Services and tell them your reason for concern and where to begin investigating. The people in these 2 positions are already being paid to do a job that includes protecting this individual from abuse, neglect and theft. Good that you are concerned and caring to help. POA's are in a trust position that an abuser can see as an opportunity to help themselves to the person's assets. It is not legal for a POA to take to themselves these. The nursing home may be being paid by your friends remaining assets but if he runs out and tries to qualify for Medicaid aid, the state will investigate assets back 7 years.i believe. The state will can prosecute when they find someone has stolen a persons's assets under the guise of POA authority.. Help to stop the abuse hopefully before it gets that far!
There just isn't enough information out there to know what exactly has occurred.
That's why finding out how the NH is being paid is important.

One thing I've found in dealing with the elderly is that often their viewpoint on money is sometimes unrealistic on what costs or values are or in how the Medicaid or Medicare system works. Add to that, dementia, & you get quite a lot of misinformation. I know with some of my older relatives, they think 50K is a lot of $ & totally clueless that 50K is 5 or 7 months of private pay NH or the co-pay for a major hospitalization surgery stay. For them, they might have bought a house for 50K so it's a huge amount of $. To me, 50K is basically like having no $ for someone in a NH as it will be spent in super short order & outside of your control other than a flurry of last minute spend down on funeral, burial, legal and other personal needs items.

The POA could have decided to liquidate all assets to simplify the situation and the $ has been put in trust or guardianship account. We just don't know.

Or the POA could have spent it improperly as Albees is concerned about.

If they apply for Medicaid, the money trail will be looked at for a 5 year look back and found out about if anything was transferred or done inappropriately and the state will act on that.
That is fraud. You should contact the police about this as well as contact Social Security and Medicaid and also tell the nursing home director about this.

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