Power of Attorney Withdraws Too Much Money

Power of Attorney Withdraws Too Much Money.

If you have been appointed as an attorney to look after your loved ones affairs when they lose physical or mental capacity you should be very careful about the amount of money you withdraw from the persons bank accounts or investments.

In a recent case, R v TJC (2015 EWCA Crim 1276), the court of appeal has ruled that an attorney who had taken excessive amounts of money from the persons bank account that they were taking care of was dishonest and therefore illegal under the Fraud Act 2006.

As ever the courts have used the term "reasonable". What this means is almost impossible to be exact with, as "reasonable" is subjective. What "reasonable" means to you may be totally different to what another person believes is "reasonable".

Comment

If you are appointed as an attorney in a Power of Attorney submitted to the Office of the Public Guardian, we urge you to keep all records of exactly what the withdrawals are and what they were for and to keep receipts. By being an attorney you are personally liable to prosecution if you abuse your position of trust. Whilst you may not need to justify every single penny that is withdrawn, we suggest that you do so and only make minor claims for personal expenses when acting as the attorney. That said, make sure you claim every penny that you spend and for your time when helping the person that has appointed you as their attorney.