Failure to Prevent Misappropriation of Resident Funds
Penalty
Summary
The facility failed to prevent the misappropriation of resident funds, resulting in unauthorized use of debit cards and significant financial losses for two residents. In one case, a resident was admitted to the hospital and subsequently passed away, after which $1,300 was withdrawn from her account. The facility was unable to determine who made the withdrawals or purchases, and all relevant information was turned over to law enforcement. The investigation could not substantiate abuse, neglect, or misappropriation, but the loss of funds remained unresolved. In another instance, a resident reported that his debit card had been stolen by a former CNA, who was related to a current staff member. The resident discovered the theft after being denied assistance due to the existence of a bank account with missing funds. Upon investigation, it was found that approximately $23,000 was missing from his account. The resident stated that he had given his food card and PIN to staff to purchase groceries, but did not recall giving his debit card, which was later found to be missing. The resident expressed feelings of betrayal and loss of trust as a result of the incident. Interviews with facility staff revealed that the missing debit card and financial discrepancies were not promptly reported or investigated. Staff members failed to follow up on the resident's concerns or assist in obtaining necessary bank statements for benefit applications. The lack of timely intervention and reporting allowed the misappropriation to go undetected for an extended period, impacting the residents involved.