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You have gone through getting POA removed from Nephew (who was POA according to your profile) and to become, yourself, the guardian.
This means you do likely do have an attorney.
I would ask these important legal questions of that attorney. Malfeasance by a POA, who has a legal fiduciary duty, in which he/she enriches self, may be prosecuted under the law, but as you will know a suit such as that, in which you function for your loved one as Guardian, is not without cost, and will have few repercussions other than a paying back of monies incorrectly collected; question being does Nephew HAVE money to pay back.
So this really is a legal question in which the details matter.
Best of luck.
FWIW a lot dependent on whether the nephew's actions are criminal or civil. Waaaay different legal on these.
Please pls pls realize that going down either choice in this path, will require some degree of actions by your mom. And will have atty and other legal costs that you as now her court appointed Guardian will need to pay to hire a law firm from her funds. If you do this, and that nephew wants to drag this out they can and that nephew’s atty can and will file to make your mom come in for a deposition. Not you but mom. She’s not dead, she can still be served. Depo’s can be brutal… the goal of the opposition atty is to make her look like a liar, an idiot, vindictive or some combo of these. Nephew will say that she allowed for & benefitted by whatever you are upset about that happened in the past and unless she can refute that and in detail, it goes nowhere.
So he resigned POA and court order for you was done, right?
Not just he resigned PoA and you became new POA.
This - POA to Guardianship- is pretty big leap, as FL has ward status assigned and plenary done with full court oversight required for the ward’s lifetime. I’m guessing APS involved? Usually if something egregious was found by APS, their report would have been required to be turned over to law enforcement; then law enforcement files charges which the DA determines if they will accept. If all this was done, and zero happened*, then someone in this system determined based on the situation there isn’t a solid case to support the charges. If this is what happened, nephews atty will bring this up. Not a good look for you.
* other than nephew resigned POA and you then became court ordered plenary (full) guardian.