Mom has dementia and lives in (basic yet expensive) memory care in Texas. I'm her daughter and only living child. She lived in Florida with my aunt after my father and sister died several years ago. During that time, her financial advisor left the large bank where my mother had her money invested and began his own company. According to my aunt, he called my mother repeatedly to get her to invest with him. She finally relented in 2018. She is his biggest client.
After Mom was diagnosed with lung cancer last year, I moved her to Texas to care for her. She has severe arthritis (she uses a walker) and struggles with steps. My house has multiple levels and steps, rendering it inappropriate for her needs. Mom wants to live with me, so we decided to look for a house that she and I can live in together. My son will also live with us. He's been great about taking Mom to appointments, taking her out to lunch and shopping, etc.
We found a wonderful house that she loves, and we applied in person for a mortgage using Mom's credit. She will make the down payment and I'll pay the mortgage and living expenses. The loan officer who met us apparently left the company days after our meeting. He did not inform the new loan officer about the in-person meeting or my POA. Last week, a supervisor from the bank called me (fortunately, Mom was sitting right next to me) and expressed the underwriter's fears that I may be stealing from Mom. It was a shock to hear this, but Mom and I answered her questions. We were assured that the loan had been approved.
After the call, we talked to Mom's financial advisor via Zoom about the loan. He strongly urged us not to buy the house, reasoning that the market is over priced, interest rates are too high, etc. He assured me that if Mom wants to live with me, he could make more money available in her account for modifying my house. I won't touch Mom's money because of accusations like the one that has just been lobbed at me, and I told him this.
Long story short, we withdrew the mortgage application and directed Mom's advisor to transfer enough money to her checking account to pay cash for the house. Mom herself told him to do this. After a good deal of hesitation, he said the money would be ready in time for the closing.
The call from the Department of Adult Protective Services came yesterday. The agent asked basic questions about Mom's living arrangements and her well being and told me that we would meet another agent in person in a couple of days due to an allegation of financial abuse. I explained the situation and told the agent that we are happy to undergo a financial audit.
I told my mother about the allegation, and we believe that it was her financial advisor who lodged the complaint. He stands to lose a sizeable chunk of his portfolio if my mother withdraws cash from her account.
Mom and I are so upset (I could get arrested or lose my job) that we told the realtor that we need to pull out of the purchase. Surprise, surprise, we could get sued by the seller. So we're stuck.
It's worth mentioning that Mom's financial advisor responded to my emails with a simple, "Let's chat next week." The money for the house has still not appeared in my mom's account.
I have contacted a criminal defense attorney with experience in elder abuse. We have receipts and statements that will clear me, and witnesses from Mom's facility will attest that we visit several times a week and are closely involved in her care. My aunt can also testify about the care that we give Mom.
Any advice?
You should strongly encourage your mom to get ALL of her money away from this person. Talk about overstepping.
Just curious, if everything is on the up and up, why would you change your plans based on this person's reprimand? Because your reaction makes me wonder if everything is kosher.
Being accused of a crime is surreal. I could literally be arrested, and if that happens, I'll lose my job and health insurance. Even though I'll be exonerated, that taint will never go away.
We decided to cancel the sale because we have no means to pay for the house other than the money that the advisor is supposed to transfer. So, facing an unfounded investigation and no way to fulfill the contract, what else could we do?
Thank you. This is a complete nightmare.
I'll post updates after talking to the lawyer.
You might want to consult an Elder Law attorney who is familiar with Medicaid regulations in your state before taking a step like that
I found out later on that the big world famous financial institution's financial advisor had deleted my father's original IRA accounts and joint accounts with designated named inheritance beneficiaries on the original form. My father only make change one time by divided the beneficiaries inheritance equally.
The financial advisor then created a new IRA accounts without beneficiaries' name on the new account. I was my father's accountant. I know all of his accounts. I am a independently wealthy woman but my wealth is in real estates and not in stocks like my parents. When my parents passed away. I wrote and submit death certificate, my driver license, and my share of my IRA inheritance on the original form. The demand was not acknowledged at all. I went to branch office. The financial advisor told them is not their business. Then I received a letter intimated, and threaten me that if I ever go to any Branch office then I will be arrested for trespassing. I have proof of evidences that they had created new accounts without beneficiaries and without my mother's consent, knowledge and signature. I have proof of threaten letter sent by register mail and certify mail and return receipt. I did report to FINRA. I found out later that FINRA can not really do anything. I reported to SEC but I still did not hear from them. I reported to CFPB but still did not hear from them. I reported to Florida Law Enforcement but was told it is a civil matter. Then I filed Federal Law suit. The Federal judge dismiss the case because I did not indicate whether the Big World know financial institution is form in Delaware. How do I know whether the company is form in Delaware when I check Sunbiz.org it did not say so. From FINRA is state that is doing business in New York. As of today, I still did not see my at least $640,000 inheritance yet! That is inheritance theft. By the way, the IRS statement from the big firm is always later for tax filling. I asked questions regarding the why there are shares but it show zero dollar amount for bonds.