Wall Street Journal highlights power of attorney abuse
The Wall Street Journal recently published an article entitled, Power Grab:
A time-tested method to protect assets as people age is starting to blow up on baby boomers. The "power of attorney," a legal arrangement that helps older people turn over management of their finances or other business matters to family members or friends, is emerging as a vehicle for fraud. Not long ago, such documents were rarely challenged or exploited. But prosecutors and elder-law attorneys say the number of cases of adult children purloining assets from parents' accounts is rising. That is prompting lawmakers to turn their attention to power-of-attorney abuse—often the first step in a swindle.
Powers of attorneys are often drafted by Texas estate planners for clients. Unfortunately, there are few effetive safeguards to prevent fraud by a loved one or confidant. I have seen cases where hundrends of thousands of dollars have been stolen, effectively with the stroke of a pen. Texas Breach of Fiduciary Duty Lawyers