This Guardian Enriched Herself Using the Finances of Vulnerable People In Her Care. Judges Let It Happen.

At ProPublica, Jake Pearson has this investigative story on a New York guardian who profited off of clients she was legally required to protect, including the elderly and incapacitated: 

“When a New York judge appointed Yvonne Murphy to take over the care of Martin Chorost in late 2011, the 63-year-old had diabetes, dementia and a constellation of other maladies. He also had assets worth more than $800,000, which were put at his guardian’s disposal.

Murphy immediately tapped them to hire Beacon Eldercare, which billed itself as ‘the leading health care assistance firm in Queens,’ to provide him with round-the-clock aides.

As it turned out, it was also Murphy’s own private business.

Over the ensuing years, Murphy transferred between $80,000 and $100,000 annually from Chorost’s accounts to Beacon while, separately, she collected tens of thousands of dollars from him in guardianship fees. Before long, the arrangement sparked a complaint from the court examiner charged with reviewing Murphy’s work.

“I believe that the dual roles of guardian and CEO of the agency creates the possibility and potential for a conflict of interest to exist,” the court examiner wrote in June 2015. A court clerk underlined the words “conflict of interest” and drew a star in the margin next to them.

In fact, legal experts told ProPublica, the arrangement was a clear and flagrant violation of New York law, which bars guardians from providing for-profit services like health care or day care to their wards. . . . 

Earlier this year, the news organization reported that New York’s guardianship system is failing to protect the elderly and ailing people entrusted to its care. Part of the problem is lax oversight, with court examiners taking years to review the work of the guardians they are tasked with overseeing. Those delays can result in dangerous gaps in information for judges charged with making sensitive decisions about the financial and physical welfare of wards — some of whom, ProPublica found, have ended up living in squalor, including one woman who endured bedbugs, rats and no heat for years. Another died without her guardian noticing, her corpse eventually discovered by a utility worker.

But Murphy’s story illustrates just how culpable judges themselves can be in the system’s breakdown.”

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