Power of attorney fraud

[Andrew1960]

I have reason to believe that my grandmothers power of attorney(my uncle) is locking up all her assets in a trust to have control over her estate when she passes.

- she's blind and he won't tell her about her finances.
-he's trying to sell her house and put her in a home (which she does not want).
-he had an affidavit written up by his lawer to block my mother from contesting the will (she also committed fraud) and sent the $1500 bill to my grandmother.
-he wants to liquidate her stocks and have control of her second bank account.

If he has put all her assets in a trust, does that mean I have been locked out of my 1/4 of the will? Is this legal for someone with fiduciary responsibilities?

Thank you for any help you can give

 

[Rob Legat - SBPL]

Take the matter to the equivalent of the Public Guardian in your state, who should have investigative powers to look into it.

 

[Andrew1960]

Take the matter to the equivalent of the Public Guardian in your state, who should have investigative powers to look into it.

Thanks for the advice Rob.
As for locking up her finances in a trust that he controls. Does that mean he can keep me out of the will If he's made himself trustee?

My grandmother is of sound mind and can make her own decisions. It seems like he's abusing his power.

 

[Rob Legat - SBPL]

Assuming there is nothing nefarious about her giving the funds to the trust, it will depend on the trust's terms.

For example: if it is a unit trust, the units held can be transferred on death in accordance with the will. However, in a discretionary (or 'family') trust it is the trustee who decides where the distributions go - no beneficiary has a right to any part of the trust proceeds until distributed. It that case, if a beneficiary dies there is nothing to be left in the estate as they had no legal interest in the trust proceeds beyond what is known as a 'mere expectancy' that they will be considered.

 

[Andrew1960]

That's very helpful, thanks Rob.

If the trust has been created by her power of attorney without her consent. Can the trust be

1. 'Broken up' and the funds returned to her while she's still alive?

2. 'Broken up' by the courts if it's found out that there's been a breach of fiduciary responsible (once she's passed on ) ?

 

[Rob Legat - SBPL]

A court could certainly look at undoing the transactions, but you would be looking at a higher level court I would expect. I'd still be looking to take the matter to the Public Guardian.

 

[Andrew1960]

So looks like my uncle has transferred most of my grandmothers money into his own Trust without her knowledge. What would steps be to get the money back now?

 

[Rob Legat - SBPL]

Still take it to the Public Guardian equivalent at first. If they're unable/unwilling to help, you'll need to get some litigation advice about starting a representative action on behalf of your grandmother.