The South Carolina Attorney General announced that his office’s Medicaid Fraud Control Unit (SCMFCU) had arrested a 57-year-old woman on two counts of Exploitation of a Vulnerable Adult and two counts of Breach of Trust with Fraudulent Intent, value of $10,000 or more.
An SCMFCU investigation revealed that between the dates of September 1, 2018, and November 30, 2021, the woman had power of attorney for two assisted living facility residents. She willfully made, with fraudulent intent, unlawful and improper use of their funds and assets. The facility where the victims resided referred this matter to the Attorney General for investigation.
Exploitation of a Vulnerable Adult is a felony with penalties of up to five years in prison, a fine up to $5,000, or both. Breach of Trust with Fraudulent Intent, value $10,000 or more is also a felony and, upon conviction, has a penalty of up to 10 years in prison or a fine at the discretion of the court.
According to federal regulations, the SCMFCU has authority over Medicaid provider fraud; abuse and neglect of Medicaid beneficiaries in any setting; and the abuse, neglect, and exploitation of individuals residing in assisted living facilities or nursing homes.
Issue:
It is the obligation of each nursing facility to protect residents from misappropriation and exploitation of funds and other personal property. It is a violation of federal and state laws for any persons, including facility staff, volunteers, visitors, family members or guardians, or another resident, to exploit or misappropriate a resident’s funds or personal property. A facility is required to report any allegations of misappropriation or exploitation of a resident’s funds or personal property to the State Agency and to appropriate local authorities.
Discussion Points:
- Review your policies on misappropriation of residents’ belongings or funds. Update as needed.
- Train all staff about abuse, neglect, and exploitation of residents, including misappropriation of personal belongings or funds. Document that the training occurred, and place the signed document in each employee’s education file.
- Periodically audit residents’ funds to ensure that no misappropriation has occurred.
