If your appointed representative is misusing your funds in New Brunswick, you must immediately revoke their Power of Attorney in writing and notify your bank. If the victim has already lost mental capacity, family members should report the financial abuse to the police and apply to the Court of King’s Bench to have the representative legally removed.
Granting someone an Enduring Power of Attorney (EPA) is the ultimate act of trust. You are handing them the keys to your financial life. Unfortunately, that trust is sometimes betrayed. Discovering that a son, daughter, or close friend is secretly draining your bank accounts, writing cheques to themselves, or selling your property for their own benefit is both heartbreaking and financially devastating.
Financial abuse is a serious crime in Canada. In New Brunswick, representatives appointed under an EPA have a strict fiduciary duty to act solely in the best interests of the person they are representing. If they use your money to pay off their own debts or buy personal luxury items, they are breaking the law. Here is exactly what you or your concerned family members must do to stop the theft and hold them accountable.
Step-by-Step Process to Stop Financial Abuse in NB
Time is critical when money is vanishing. Whether the abuse is happening in Saint John, Dieppe, or Miramichi, the steps to secure the remaining assets and challenge the abuser follow strict legal protocols under New Brunswick law.
Step 1: Officially Revoke the Document
If you still have your mental capacity and discover the misuse yourself, you must immediately cancel their authority . You do this by drafting a written “Notice of Revocation.” You must clearly state that you are terminating their appointment as your attorney for property. Deliver a copy of this notice directly to the abuser, ideally through registered mail or a process server, so you have solid proof they received it.
Step 2: Notify All Financial Institutions
Revoking the document does not help if the bank doesn’t know about it. You must physically go to your local bank branches, credit unions, and investment advisors immediately. Hand them the Notice of Revocation and instruct them to freeze your accounts or remove the abuser’s access instantly. If they have a copy of the old EPA on file, demand that they note its cancellation in their system.
Step 3: Involve Local Law Enforcement
Stealing money via a Power of Attorney is not just a civil dispute; it is theft and fraud. You should contact the local municipal police or the RCMP in New Brunswick to report elder financial abuse. Provide them with bank statements highlighting the unauthorized e-transfers, cash withdrawals, or cheques. A police investigation can lead to criminal charges, which is a powerful way to stop an abuser.
Step 4: Apply to the Court of King’s Bench
If the victim has already lost mental capacity (e.g., they have advanced Alzheimer’s), they cannot revoke the document themselves. In this scenario, another concerned family member must step in ▲. The family member must hire a litigation lawyer and file an urgent application with the Court of King’s Bench of New Brunswick. The judge has the power to demand a full financial accounting, instantly remove the abusive representative, and appoint a new guardian to protect the remaining assets.
Signs Your Representative is Abusing Their Power
Financial abuse is often hidden. Concerned relatives should watch closely for these major red flags:
| Red Flag Behaviour | Why It Is Highly Suspicious |
|---|---|
| Unexplained Withdrawals | Frequent ATM cash withdrawals or large e-transfers that do not align with the senior’s actual living expenses or lifestyle. |
| Secrecy and Isolation | The representative refuses to share bank statements with other siblings and actively tries to stop the victim from seeing family. |
| Sudden Change in Living Standards | The victim is living in poor conditions and missing bill payments, while the representative suddenly buys a new car or takes expensive vacations. |
How Much Does it Cost in New Brunswick?
Stopping financial abuse often requires immediate legal intervention, which carries significant costs:
- Drafting a Revocation: If you are capable and just need a lawyer to draft a formal revocation notice, it usually costs between $150 CAD and $350 CAD.
- Court Applications (Litigation): If a family member must apply to the Court of King’s Bench to remove an abusive representative, the legal retainer generally starts between $5,000 CAD and $10,000 CAD. Complex cases involving stolen real estate can easily exceed $20,000 CAD in legal fees.
- Forensic Accounting: If years of financial history are missing, hiring a professional accountant to trace the stolen funds can cost $3,000 CAD to $8,000 CAD.
How Long Does the Process Take?
Revoking an Enduring Power of Attorney and freezing a bank account can be done in a single day if you are mentally capable. However, if the matter goes to the Court of King’s Bench, obtaining a court order for a formal accounting or suing the abuser to return the stolen money can take anywhere from 6 months to 2 years, depending on how aggressively they fight the accusations.
Frequently Asked Questions (FAQ)
Can I force my sibling to show me the bank statements?
Generally, an appointed representative only answers to the person who appointed them. If the parent is still capable, they can demand the statements. If the parent lacks capacity, a sibling cannot simply demand to see the books without a court order from a judge in New Brunswick.
Will I definitely get the stolen money back?
Unfortunately, there is no guarantee. Even if a judge orders the abusive representative to repay the stolen funds, they may have already spent the money or hidden it. You cannot collect blood from a stone, but you can sometimes place legal liens on their personal house or wages.
Is it considered abuse if they pay themselves a salary?
Under New Brunswick law, an attorney for property is allowed to claim reasonable out-of-pocket expenses, and sometimes reasonable compensation, unless the EPA document specifically forbids it. However, the compensation must be modest and proportionate to the work actually done. Draining an account for “salary” is considered abuse.
Who can help if we cannot afford a massive court battle?
If the victim is a vulnerable senior and there is clear evidence of fraud, reporting it to the police is free. You can also contact Adult Protection Services through the New Brunswick Department of Social Development, which investigates severe cases of elder abuse and neglect.
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