Establishes the crime of exploitation of an elderly person, vulnerable elderly person or incompetent or physically disabled person

BILL NUMBER:S5056 REVISED 05/16/11

Title of bill

An act to amend the penal law, in relation to preventing financial exploitation of the elderly

Purpose

Establishes the crime of exploitation of an elderly person, vulnerable elderly person or incompetent or physically disabled person.

Summary of provisions

Section 1 amends section 260.31 of the penal law by adding definitions for "Deception" and "Elderly person" and amending the definition for "Caregiver."

Section 2 amends the penal law by adding three new sections 260.35,260.36 and 260.37.

Section 3 designates the effective date for the bill after it shall have become a law.

Existing law

New bill.

Justification

Financial exploitation of the elderly is a pervasive form of abuse. It is a national and statewide trend that is bound to increase as those older than age 50 control at least 70% of the nation's household net worth.

The National Center on Elder Abuse defines elder financial exploitation as "the illegal or improper use of an elder's funds, property or assets." Such instances of exploitation take form in the way of credit card fraud, real estate scams, identify theft and burglary. According to Maine Attorney General Steven Rowe in May 2004, forty percent of all reported elder abuse cases involved financial exploitation. Washington County, Oregon saw its senior citizens lose almost $2 million to financial exploitation and crime in 2004. Muskogee County, Arizona reported in 2010 a confirmed 448 cases of neglect or exploitation.

In passing this bill, New York would be joining a band of states responding to the need for increased protection for our elders against financial abuse. In Maine, the Improvident Transfers of Title law allows seniors who have transferred property as a s result of undue influence to get court orders for its return. Within Arizona law, individuals in a position of trust who use deception or intimidation to gain permanent control of a senior's assets are considered guilty of theft. An Oregon law protects bank personnel when reporting suspicions of abuse. This bill does not put any onus on anyone to report financial abuse (via a fine or other penalty) Instead, it gives DA's recourse against a crime which they often have no basis for prosecuting in New York.

Legislative history

None.

Fiscal implications

None.

Effective date

This act shall take effect on the first of November next succeeding the date on which it shall have become a law.