Failure to Prevent Misappropriation of Resident Funds
Penalty
Summary
The facility failed to prevent misappropriation of funds for two residents who were cognitively intact and at risk for abuse. One resident, admitted with multiple diagnoses including end stage renal disease, diabetes, and major depressive disorder, discovered several unauthorized ATM withdrawals totaling thousands of dollars after his debit card was given to a staff member who claimed payment was needed for his account. The resident noticed the missing funds when his card was declined and subsequently contacted his bank and the police. The facility's internal investigation revealed that the staff member misused the resident's credit card and misappropriated cash payments for personal use. Another resident, also cognitively intact and with a history of cerebral infarction, diabetes, and other serious conditions, reported that his debit card was taken from his room and approximately $2,000 in unauthorized transactions occurred. The resident discovered the missing funds after reviewing his bank account and reported the incident. The bank provisionally credited the resident's account while the police investigation was ongoing. The facility's investigation included interviews and review of surveillance footage, leading to the suspension of two employees suspected of involvement. Both incidents were documented in the residents' care plans as abuse risks, with interventions for additional financial monitoring. The facility's abuse prevention policy affirms residents' rights to be free from misappropriation of property and outlines the facility's responsibility to prevent such occurrences. Despite these policies, the facility did not prevent the misappropriation of funds in these cases.