Abuse of Power of Attorney - Can it Be Prevented?
Another example of alleged abuse by an agent under a power of attorney. The Denver Post reports a man is accused of using his grandmother's money for his personal use and now she is out of money. The grandson and his wife are facing criminal charges.
Could this have been avoided? People want to trust their family, so it can be hard to prevent this type of abuse. One thing may be to require in the power of attorney document that the agent has to provide an accounting to a third party. Will this be like shutting the barn door after the horses have left? Maybe, because accountings are always historical. The money has already been spent.
Yet, if the agent knows he will have someone checking into how he spent the money he may resist temptation to use grandma's money for his own car payment.