Elderly relative in trouble (I think)

arealbasketcase

I do not know if I am over reacting, I am so shocked by what I have found out but I hope someone out there can tell me to calm down. Questions at the end, facts first:

Father in Law died a couple of years ago, estate not very large but there were issues because he had been claiming benefits he shouldn't have. I honestly don't think he was doing it deliberately. The family solicitor "sorted all this out", negotiating with the agencies etc. Mother in Law (over 75) has never dealt with any of the family finances, wouldn't understand what a mortgage was never mind what beneftis she is entitled to. Brother in Law has been helping her out, setting up DD's and the like to make sure bills are paid.

The problem is, the solicitor only handed over a portion of the money that was finally left to MIL (after all above "sorted") and kept the balance (£20k+) in a client account!!!!!!!!!!!! He handed over about £14k which has now grown to over £16k.

Neither I nor my OH where aware of the details, and still aren't completely informed, but this week BIL rang because he needs to speak to OH regarding "what to do about mum's money". OH is working in France so I asked a few questions. I thought I deserved an Oscar quite frankly for not letting my shock show, if I had shown how shocked I was I am sure BIL would have clammed up. He wants each of us to be "given" a gift by MIL in order to hide the money so that she can carry on claiming benefits.

I am now very scared of a couple of things:

Once the authorities discover that this money has been hidden they will come after MIL for all the overpayments plus interest. There is no way on this planet she new what was going on, having trusted others to sort things out.

That people we thought we could trust have done something so illegally in order to defraud the authorities.

That BIL (who also has Power of Attornery) has colluded with the solicitor and is now trying to involve my OH.

Am I over-reacting, or do I need to suggest to my OH that we find another solicitor to act for MIL.

[Deleted User]

Find another solicitor if they are trying to hide her income. I am sure this comes under Deprivation of Income which is very serious.

Your MIL could quite easily cancel benefits affected by her savings/income until she has legitamitely spent enough to go under the threshold again.

stazi

As it's the BIL who has the PoA, it'll be him that DWP would pursue- not your MIL. Also, unless the MIL can maybe revoke the PoA, or another PoA is appointed to replace the BIL, it's only the BIL that DWP would deal with.

arealbasketcase

Thanks everyone, so I am not over-reacting? I hope they do pursue my BIL, it isn't a lot of money in the great scheme of things but for him it is - he is always skint, this is his way of making sure there is money left when MIL dies (she is quite frail). When I questionned how she would pay for care should she need to go into a home his answer was "well we would of course have to pay from the money she had gifted to us". I ask you, would you trust him?

I don't know what to say to OH, BIL won't ring him directly, he never does he always waits for OH to call him (mmmmmm, money an issue I wonder ?).

Solicitor is releasing funds this week, a cheque made payable to MIL, I reckon their accounts have been audited and the accountants want to know why the money has been in a client account for so long - now I'm being an amateur sleuth as well as over-reacting. Can BIL open an account in MIL with PoA?

I never knew how useless I was until now, I'm ok with company accounts but personal stuff like this is outside my experience.

bigbill

I would first check if the MIL has Pension Credit?

If yes

Given her age I would expect she would have an assessed income period (AIP) for a few years yet so new savings / capital will make no difference to her on-going entitlements until the AIP ends.

If no Pension Credit or AIP set it's fraud so beware

arealbasketcase

Thanks bigbill I will try to find out about the Pension Credit and the AIP, must confess to being really out of the loop with all this. OH is working in France at the moment which makes talking about this sort of stuff that much more difficult, especially since OH is very much like his mum when it comes to sorting out finances!

Assuming the best, i.e. that an AIP has been set, how long do they usually last? Technically it isn't new money, it's money from Father in Laws estate, will that make a difference?

I think it is time I did a bit more research. I haven't said anything to OH yet, I will speak with BIL first to get more info' that way (with all the wonderful help from you guys) I will be able to sound all knowledgable.

Thanks again, I'll be back when I have more questions.