Senate Special Committee on Aging Hearing on Financial Abuse by Guardians
Senate Special Committee on Aging
“Trust Betrayed: Financial Abuse of Older Americans by Guardians and Others in Power”
Wednesday, November 30, 2016
Key Topics & Takeaways
- Senior$afe Act: Ranking Member McCaskill affirmed that the Senior$afe Act (S.2216) will continue efforts to protect elder adults.
- GAO Study: The Government Accountability Office released a study on the extent of financial exploitation of elders by guardians. The study referenced eight cases in six states where penalties and restitution ordered by courts ranged from $20,000 to $160,000.
- Reporting: Chairman Collins questioned the increase in reporting over the past years,further asking if the industry has gained insight on what motivates family members and guardians to commit financial abuse on seniors. Martin stated that “greed is a significant driver.” She also stated that, specific to Maine, as the public awareness grows, victims are encouraged to come forward.
Witnesses
- Kathryn Larin, Acting Director, Forensic and Investigative Services Team, GAO
- Cate Boyko, Manager, Conservator Account Auditing Program
- Jaye Martin, Executive Director, Legal Services for the Elderly
- Jessica Kruse, Attorney, Ozarks Elder Law
Opening Statements
In her opening statement, Chairman Susan Collins (R-Maine) described financial abuse of seniors as “shocking breaches of trust.” She stated that abuse is often committed by friends or family members who are informally handling victim’s affairs. Collins highlighted that the key challenges with elder abuse is the lack of clear and inconsistent data and the varying methods in which every state handles guardianships.
Ranking Member Claire McCaskill (D-Mo.), in her opening statement, referenced the 17,000 reports the Missouri Department of Health and Human Services receives of abuse, neglect, and financial exploitation of seniors in a year. McCaskill stated that the “extent of elder abuse is limited to us due to the lack of data.” She added that early next year, the U.S. Department of Health and Human Services will be launching the National Adult Maltreatment Reporting System to provide accurate national data on elder abuse. She further noted that the system will draw on data submitted by APS, as well as identify cases of financial abuses. McCaskill affirmed that the Senior$afe Act (S.2216) will continue efforts to protect elder adults.
Testimony
Kathryn Larin, Acting Director of Forensic Audit and Investigative Services Team, GAO
In her testimony, Larin highlighted what is known of elder abuse by guardians and measures state and local programs have taken to help protect older adults with guardians. Larin voiced that while the federal government does not regulate or directly support guardianship, the federal agencies may offer indirect support to state guardianship programs by providing funding for efforts to share best practices and facilitate improved coordination. She added that the extent of elder abuse by guardians nationally is unknown due to the limited data on the number of guardians serving older adults, older adults in guardianships, and cases of elder abuse by a guardian. While she acknowledged the absence of reliable data, Larin stated that information on individual cases can provide insight into the types of abuse guardians have been found to inflict on older adults. Larin concluded that the Government Accountability Office (GAO) has observed successful measures that states can take to help protect older adults with guardians may vary, but typically include screening, education, monitoring, and enforcement.
Cate Boyko, Manager, Conservator Account Auditing Program
In her testimony, Boyko addressed financial abuse in conservatorships in Minnesota, action taken by the Minnesota Judicial Branch to improve the courts oversight of vulnerable persons under conservatorship, and the findings of conservator account audits. She recognized Minnesota’s background checks, online training, auditing of accounting, and court hearings to address findings. Boyko stated her belief that Minnesota is an “exemplary” national model to address the issue of financial abuse on older Americans by conservators. She concluded by stating that the sharing of best practices amongst partnerships is the most effective way to combat financial abuse of vulnerable adults.
Jaye Martin, Executive Director, Legal Services for the Elderly
In her testimony, Martin stated that “48 percent of the elder abuse cases LSE handled in the past year involved financial exploitation, with 75 percent of those involving family members as the perpetrators.” She added that this is consistent with national research which found that in “90 percent of reported elder abuse cases with a known perpetrator, the perpetrator is a family member.”
Jessica Kruse, Partner, Ozarks Elder Law
In hertestimony, Kruse described her firm’s experience with financial abuse cases occurring within a guardianship and conservatorship as having generally occurred in situations where court monitoring is lacking. Kruse also stated that public awareness and education needs to be widespread amongst the community.
Questions and Answers
McCaskill asked witnesses if the passage of the Senior$afe Act, which would enable financial institutions to report “factual patterns” of a suspected individual committing financial abuse on a senior, would assist on efforts to protect seniors. Boyko affirmed the assistance that the Senior$afe Act would provide support as the issue is cross-jurisdictional.
Collins questioned the increase in reporting over the past years, further asking if the industry has gained insight on what motivates family members and guardians to commit financial abuse on seniors. Martin stated that “greed is a significant driver.” She also stated that, specific to Maine, as the public awareness grows, victims are encouraged to come forward.
Federal Involvement
Sens. Richard Blumenthal (D-Conn.) and Bob Casey (D-Pa.) asked that although the federal government is limited in its involvement in guardianship, how can it help protect seniors. Kruse advised for federal funding systems like that of Minnesota’s, specifically in rural counties who have very low resources. Kruse highlighted Texas’ state-wide audit on guardianship, and responded that success is seen in states that have elder abuse prosecution units as well as proper training. Boyko described the federal government’s involvement as a “multi-prong approach,” including federal funding and the Senior$afe Act.
For more information on this hearing, please click here.
Senate Special Committee on Aging
“Trust Betrayed: Financial Abuse of Older Americans by Guardians and Others in Power”
Wednesday, November 30, 2016
Key Topics & Takeaways
- Senior$afe Act: Ranking Member McCaskill affirmed that the Senior$afe Act (S.2216) will continue efforts to protect elder adults.
- GAO Study: The Government Accountability Office released a study on the extent of financial exploitation of elders by guardians. The study referenced eight cases in six states where penalties and restitution ordered by courts ranged from $20,000 to $160,000.
- Reporting: Chairman Collins questioned the increase in reporting over the past years,further asking if the industry has gained insight on what motivates family members and guardians to commit financial abuse on seniors. Martin stated that “greed is a significant driver.” She also stated that, specific to Maine, as the public awareness grows, victims are encouraged to come forward.
Witnesses
- Kathryn Larin, Acting Director, Forensic and Investigative Services Team, GAO
- Cate Boyko, Manager, Conservator Account Auditing Program
- Jaye Martin, Executive Director, Legal Services for the Elderly
- Jessica Kruse, Attorney, Ozarks Elder Law
Opening Statements
In her opening statement, Chairman Susan Collins (R-Maine) described financial abuse of seniors as “shocking breaches of trust.” She stated that abuse is often committed by friends or family members who are informally handling victim’s affairs. Collins highlighted that the key challenges with elder abuse is the lack of clear and inconsistent data and the varying methods in which every state handles guardianships.
Ranking Member Claire McCaskill (D-Mo.), in her opening statement, referenced the 17,000 reports the Missouri Department of Health and Human Services receives of abuse, neglect, and financial exploitation of seniors in a year. McCaskill stated that the “extent of elder abuse is limited to us due to the lack of data.” She added that early next year, the U.S. Department of Health and Human Services will be launching the National Adult Maltreatment Reporting System to provide accurate national data on elder abuse. She further noted that the system will draw on data submitted by APS, as well as identify cases of financial abuses. McCaskill affirmed that the Senior$afe Act (S.2216) will continue efforts to protect elder adults.
Testimony
Kathryn Larin, Acting Director of Forensic Audit and Investigative Services Team, GAO
In her testimony, Larin highlighted what is known of elder abuse by guardians and measures state and local programs have taken to help protect older adults with guardians. Larin voiced that while the federal government does not regulate or directly support guardianship, the federal agencies may offer indirect support to state guardianship programs by providing funding for efforts to share best practices and facilitate improved coordination. She added that the extent of elder abuse by guardians nationally is unknown due to the limited data on the number of guardians serving older adults, older adults in guardianships, and cases of elder abuse by a guardian. While she acknowledged the absence of reliable data, Larin stated that information on individual cases can provide insight into the types of abuse guardians have been found to inflict on older adults. Larin concluded that the Government Accountability Office (GAO) has observed successful measures that states can take to help protect older adults with guardians may vary, but typically include screening, education, monitoring, and enforcement.
Cate Boyko, Manager, Conservator Account Auditing Program
In her testimony, Boyko addressed financial abuse in conservatorships in Minnesota, action taken by the Minnesota Judicial Branch to improve the courts oversight of vulnerable persons under conservatorship, and the findings of conservator account audits. She recognized Minnesota’s background checks, online training, auditing of accounting, and court hearings to address findings. Boyko stated her belief that Minnesota is an “exemplary” national model to address the issue of financial abuse on older Americans by conservators. She concluded by stating that the sharing of best practices amongst partnerships is the most effective way to combat financial abuse of vulnerable adults.
Jaye Martin, Executive Director, Legal Services for the Elderly
In her testimony, Martin stated that “48 percent of the elder abuse cases LSE handled in the past year involved financial exploitation, with 75 percent of those involving family members as the perpetrators.” She added that this is consistent with national research which found that in “90 percent of reported elder abuse cases with a known perpetrator, the perpetrator is a family member.”
Jessica Kruse, Partner, Ozarks Elder Law
In hertestimony, Kruse described her firm’s experience with financial abuse cases occurring within a guardianship and conservatorship as having generally occurred in situations where court monitoring is lacking. Kruse also stated that public awareness and education needs to be widespread amongst the community.
Questions and Answers
McCaskill asked witnesses if the passage of the Senior$afe Act, which would enable financial institutions to report “factual patterns” of a suspected individual committing financial abuse on a senior, would assist on efforts to protect seniors. Boyko affirmed the assistance that the Senior$afe Act would provide support as the issue is cross-jurisdictional.
Collins questioned the increase in reporting over the past years, further asking if the industry has gained insight on what motivates family members and guardians to commit financial abuse on seniors. Martin stated that “greed is a significant driver.” She also stated that, specific to Maine, as the public awareness grows, victims are encouraged to come forward.
Federal Involvement
Sens. Richard Blumenthal (D-Conn.) and Bob Casey (D-Pa.) asked that although the federal government is limited in its involvement in guardianship, how can it help protect seniors. Kruse advised for federal funding systems like that of Minnesota’s, specifically in rural counties who have very low resources. Kruse highlighted Texas’ state-wide audit on guardianship, and responded that success is seen in states that have elder abuse prosecution units as well as proper training. Boyko described the federal government’s involvement as a “multi-prong approach,” including federal funding and the Senior$afe Act.
For more information on this hearing, please click here.