Rep. Plan Aims to Protect Michigan Seniors from Financial Exploitation.

Plan aims to protect Michigan seniors from financial exploitation
PUBLISHED: February 20, 2008

LANSING/DEARBORN HEIGHTS - State Reps. Bob Constan (D-Dearborn Heights) and Richard LeBlanc (D-Westland) recently threw their support behind the Elder Financial Protection Act, a plan that aims to shed light on the reprehensible act of elder abuse by cracking down on criminals who financially exploit seniors for their own gain.
Elder abuse is a heinous crime that must be stopped," Constan said. "As people get older, they often need the help of friends and family to manage their finances. It's horrible that our seniors are often taken advantage of by the very people who are responsible for their care. We must strengthen protections for our seniors to make sure they are not taken advantage of by predators."
Elder abuse ranges from abandonment and neglect to financial exploitation to emotional, physical or sexual abuse. Caregiver neglect comprised 20 percent of substantiated reports, according to a report from the National Center on Elder Abuse. Financial exploitation was the culprit in 15 percent of elder abuse cases.
The House Democrats' Elder Financial Protection Act would:
• Make it mandatory for employees of financial institutions to report suspected elder abuse.
• Require financial institutions to provide joint accountholders with a written summary of their rights.
• Prohibit those convicted of elder abuse from inheriting from a victim's estate and create an Elder Death Review Team to investigate suspicious deaths.
• Allow a third party to file a criminal complaint on behalf of a victim of elder abuse.
• Define financial exploitation as it relates to the Michigan Social Welfare Act.
• Define the rights of those who are incapacitated.
• Require a person who is granted power of attorney on behalf of a senior to sign a contract that details the person's obligations and fiduciary duty to act in the senior's best interest.
Michigan's Adult Protective Services investigated more than 9,300 cases of adult mistreatment in 2001, according to the National Center on Elder Abuse (NCEA). Adults age 60 and older accounted for 69 percent of the victims — an estimated 6,479 seniors. The investigations found that 70 percent of all victims suffered neglect and 15 percent were abused.
A 2004 survey of all 50 states conducted by the NCEA found that women are more likely than men to suffer from elder abuse or neglect, with two out of three elder abuse victims being women. The survey also found that two in five victims were age 80 or older. The same report found that 17 percent of elder abuse cases involved members of the victim's family.
In one case reported in the NCEA's 2004 survey, a 93-year-old woman's granddaughter moved into her house with her boyfriend, under the guise of offering caregiver assistance in exchange for free housing. The younger woman convinced her grandmother to add her name to the checking account. A bank teller at the older woman's bank noticed irregular account activity and reported it to Adult Protective Services. An investigation showed that the younger woman had become physically abusive toward her grandmother, pushing her down a flight of stairs. Authorities also learned she had tried to get her grandmother to sign over the deed to the house.
"We cannot allow cruel individuals to profit off the estates of the very people that they victimize," LeBlanc said. "This plan will keep those who victimize and abuse seniors from inheriting from their estates after they've died. Elder abuse is a despicable crime, and we must take steps to end it."

SOURCE: pressandguide