SALT LAKE CITY — Utah seniors are bilked out of estimated $1 million a week, according to a new study.
A review of 57 cases of financial exploitation reported to Adult Protective Services found that seniors are most often preyed upon by family members. They are most vulnerable to unauthorized withdrawals from their bank accounts. However, seniors rarely report these crimes to adult protective services.
"This perhaps indicates that victims are often embarrassed about reporting financial exploitation or are unaware of the financial exploitation that is occurring," wrote Jilenne Gunther, legal services developer for the division and author of the study.
The report estimates that an estimated $52 million of seniors' assets were stolen in 2009. "This amount, any amount, is too much. Everyone in Utah is losing — seniors, government, banking institutions and taxpayers," Gunther wrote.
The report, presented during a hearing Wednesday of the U. S. Senate Special Committee on Aging, addresses the ripple effect of the bilking of seniors' resources on Medicaid as well as financial institutions.
In some cases studied for the report, seniors were exploited to the extent that they were now on Medicaid or in the process of applying for it. "All of the seniors in this situation had a significant amount of their life savings stolen," Gunther wrote. Among the cases researchers could substantiate, the Medicaid costs to government were estimated to be $771,408.
In a telephone interview from Washington, D.C., Gunther said the report's estimates are very low, given how few of these offenses are reported to authorities. Experts say perhaps only one in 25 cases of exploitation are reported to authorities. Others say the number could be 44-1.
"It's gruesome. What are you supposed to do with a senior who loses their house because their child has basically stolen it?" Gunther said.
According to the case reviews, people closest to the victims employ multiple means to exploit their victims. Children and friends were more likely to employ two, three or four types of exploitation methods. While most of the theft was financial, some stole cars and drugs.
"You think you raise a child to take care of you when you're older, and you find out that there is one hand, sometimes two or three hands, in the pot, stealing from you. It's disturbing," she said.
Some of this exploitation is due to this particular generation's propensity to trust. "Your word is your bond," Gunther explained.
But seniors need to be aware what the statistics say and take steps to protect their assets, even from their closest friends and relatives.
Seniors who need help with financial matters should seek the help of a trusted friend or relative and also tap the assistance of another person to monitor the trusted friend or family member's activities.
"No one goes into this thinking that this is what is going to occur," Gunther said. "People should be aware so they can take precautions."
e-mail: marjorie@desnews.com