Power of Attorney Abuse

A power of attorney (POA) is a legal instrument that authorises one person (the attorney) to act on behalf of another (the donor) in financial, legal, or healthcare matters. When properly used, it is an essential tool for helping someone who has lost capacity to manage their affairs. Abuse occurs when the attorney exploits this authority for personal gain rather than the donor's benefit.

POA abuse can take many forms: making unauthorised transfers of the donor's money to the attorney's own account; selling or transferring property without the donor's genuine consent; changing the donor's will or beneficiaries; failing to pay the donor's bills while misappropriating their income; or obtaining a POA through undue influence when the donor still retained sufficient capacity to refuse.

The Office of the Public Guardian in the UK and equivalent bodies elsewhere have the authority to investigate and revoke a power of attorney where abuse is suspected and to restrict or replace an attorney. Banks are trained to apply enhanced scrutiny to transactions made under POA on vulnerable accounts. Family members should keep oversight of POA arrangements, ensure attorneys maintain clear accounts, and report concerns to relevant safeguarding authorities promptly.