Regardless of a decade-long battle and a courtroom judgment of their favour, a Manitoba household says they’re nonetheless on the lookout for justice, alleging greater than $170,000 of their 82-year-old aunt’s cash was misappropriated by a lady they thought was her buddy.
The household of Donna Manning, who died in 2015, accuses Kathleen Penner, 70, of abusing her energy of legal professional and her position as Donna’s executor to spend the senior’s cash on aircraft tickets, jewellery and holidays, in line with courtroom paperwork.
“It makes you actually not belief quite a bit, that any person may try this to an aged lady,” mentioned Glenda Manning, Donna’s niece.
The household gained a 2023 Manitoba Court docket of King’s Bench judgment towards Penner, however says they’re nonetheless making an attempt to have it enforced.
They are saying they’re talking out in regards to the case as a result of they need to warn individuals to verify in on their family members, and to name for higher safety for seniors.
“One thing needs to be accomplished about elders being taken benefit of,” Glenda mentioned.
Penner, who works within the funeral business, declined an October interview request, stating she was wanting into hiring a lawyer. She didn’t reply to followup requests for remark.
In a 2021 affidavit filed in courtroom, Penner wrote that she sorted Donna, and the 2 ladies had been buddies. Penner says any cash she spent was as a result of Donna needed her to have it.
Household did not know senior was hospitalized
Donna Manning died at a Gimli, Man., hospital in Might 2015 from an obstructed bowel.
Her relations weren’t there, as a result of they solely realized later that she was within the hospital.
The one individual by her facet was Penner — a lady the household knew as somebody who drove Donna to medical appointments.
“She was within the hospital for 3 days and no one knew,” mentioned Kirk McCardle, Donna’s nephew.
Within the days after, the household additionally realized Penner had, with out their information, been made executor of Donna’s will and had energy of legal professional on one in all her financial institution accounts.
“I used to be flabbergasted once I noticed all of this,” mentioned Glenda.
The household quickly found a collection of monetary transactions that raised questions on Penner’s conduct in Donna’s ultimate years and as executor of her property.
“It makes me really feel horrible. Had any of us recognized that this was what was taking place, all of us would have been there,” mentioned Glenda.
‘Do not let her get away with it’
Donna’s will allotted half her property to her brother Glen Manning, Glenda’s father, whereas McCardle, her nephew, and his sister would break up the opposite half.
The desire mentioned Penner would obtain $5,000 from the property however may search “affordable remuneration” over and above that quantity because the executor.
Penner instructed the household that Donna died with no property or financial savings past a rental valued at $119,000, private gadgets totalling $500 and fewer than $600 in her checking account, in line with a authorized doc she signed in 2016.
However Glenda says that did not make sense, as a result of her aunt was all the time very frugal along with her cash. A retired bookkeeper, Donna had a retirement fund and had additionally gained $50,000 in a lottery in 2011, Glenda mentioned.
“My aunt did not go wherever. She did not drive,” she mentioned. “She was very meticulous about issues that she did.”
What the household did not understand is that almost all of Donna’s cash had been spent within the final two years of her life by Penner, in line with a 2021 affidavit filed in courtroom by Glenda.
In addition they did not know practically $100,000 was lacking from the property, as a result of Penner didn’t disclose a $24,000 registered retirement funding account or an funding account with a credit score union value $70,000, in line with the stock of Donna’s property signed by Penner.
In 2017, the household filed an software in Manitoba Court docket of King’s Bench to realize entry to Donna’s accounts, hoping they may get solutions about the place Donna’s cash went.
In addition they needed Penner eliminated as executor — a request ultimately granted by way of a courtroom order in 2021.
Glenda says she grew to become extra concerned within the property battle after her father died in 2018.
“His dying phrases had been, ‘Do not let her get away with it,'” she mentioned.
Solely about $3K left in financial institution
By way of an earlier courtroom order, the household gained entry to numerous monetary information that gave “rise to severe issues” about how Penner was utilizing cash hooked up to Donna’s property earlier than and after she died, in line with an affidavit sworn by Glenda on Dec. 3, 2020.
Penner was given energy of legal professional for Donna’s financial institution accounts with what was then Noventis Credit score Union in August 2013, courtroom information present. Month-to-month account information present after that occurred, Donna’s spending went from $24,000 a 12 months to over $96,000.
Cash was spent at grocery shops and casinos, and on takeout meals, ATM withdrawals and sports activities gear, in line with financial institution statements filed in courtroom.
The statements present a number of transfers had been made into the Noventis chequing account throughout this era from Donna’s different accounts at one other financial institution. That included transferring Donna’s $46,000 registered retirement revenue fund to Noventis.
The transfers totalled $186,000, which Penner now had entry to as a consequence of her energy of legal professional.
“I spent hours and hours and hours going by way of financial institution statements and monitoring one switch to a different checking account, to a different checking account,” mentioned Glenda.
By the point Donna died, there was simply over $3,000 in her Noventis chequing account, and her registered retirement revenue fund went from $46,000 to $24,000 in line with courtroom paperwork.
$70K payout ‘raises enormous crimson flags’
The household additionally realized Penner and one in all her neighbours, Penny McAdam, obtained a $70,000 payout from Donna’s account after her demise.
Lower than two years earlier than Donna died, McAdam, who’s a monetary planner, had bought her two investments. Financial institution information filed in courtroom present two cheques totalling $70,000 had been made out to Desjardins, a private funds firm, from Donna’s Noventis account.
The cheques gave the impression to be written by somebody apart from Donna, Glenda alleged in courtroom paperwork — they had been written in all caps, whereas Donna’s cheques for issues like Meals on Wheels had been in cursive, Glenda wrote in a courtroom affidavit.
When Donna died, Penner obtained $50,000 from one funding, whereas McAdam was the beneficiary of $20,000 from the opposite funding. They crammed out a claimant kind after Donna’s demise, which requested if Donna had a will. They each checked off a field saying no, in line with a Desjardins kind filed in courtroom.
A monetary professional mentioned that raises moral issues, as a result of an funding consultant shouldn’t be a beneficiary.
John Woodfield, a portfolio supervisor and authorized monetary planner based mostly in British Columbia, mentioned the very fact McAdam bought investments to an individual for whom her buddy was an executor is “significantly egregious.”
“It raises enormous crimson flags,” he mentioned. “You may have undue affect over that individual.”
McAdam declined to touch upon the funding, stating she can’t focus on any consumer info as a consequence of privateness causes.
Donna’s household say they don’t know who she is, and questioned in courtroom paperwork why Penner by no means disclosed the investments.
From 2013 to 2015, 4 cheques totalling $19,500 had been written to Penner, the household alleges.
The household says they discovered extra irregularities after they tracked the spending on Donna’s bank card. Donna didn’t carry a steadiness on her bank card, which had a restrict of $1,500 in 2013, in line with financial institution statements filed as courtroom displays.
By the point she died in 2015, the bank card restrict had been elevated to $6,500 and it carried a steadiness of over $6,200.
The exercise was “like a child in a sweet retailer,” mentioned Glenda. “It was a switch right here, switch there, withdrawals in Winnipeg, withdrawals in Selkirk.”
Penner was given entry to Donna’s bank card account in August 2013 and was additionally given a card in her title related to the account, in line with courtroom paperwork.
“She even had the gall to lift the [credit] restrict six months after my aunt had handed on her Visa card,” mentioned McCardle.
The cardboard below Penner’s title was used for flights, motels in the USA, and money advances, in line with account statements. Only a few purchases had been made with the cardboard below Donna’s title, which frequently went unused for months.
After Donna’s demise, Penner continued to make use of the bank card, the Noventis account and Donna’s car, with greater than $38,000 spent by Penner that had nothing to do with administering Donna’s property, courtroom paperwork say.
Penner “grew to become executor as a result of she knew that as executor, we would not have entry to the financial institution accounts,” Glenda alleges.
“And it took us six years to get that entry to seek out the proof.”
Pal and caregiver: Penner
In a sworn affidavit dated Jan. 13, 2021, Penner mentioned she befriended Donna in 2003 and the pair loved a mutual love of golf. She began taking Donna to medical appointments in 2008 and helped her put together meals, the affidavit says.
Penner said that by 2010, she had began to tackle a extra hands-on method as Donna’s well being deteriorated. That is when Donna instructed Penner she was making her executor of her will, her affidavit says.
Penner mentioned she did Donna’s laundry and cleaned her rental, and by 2014 was checking on Donna a couple of times a day.
However Glenda questions the help Penner gave Donna throughout her ultimate years. The household says after they went to Donna’s residence after her demise, they discovered it stripped of her belongings and “lined in human and mice feces,” in line with a sworn affidavit by Glenda in 2023.
Penner mentioned in her affidavit she used the Visa bank card for 2 years after Donna died as a result of “it by no means occurred to me to not use my Visa card, because it had my title on it.”
Hundreds of {dollars} value of fees made after Donna died had been associated to the property, Penner mentioned, together with gasoline to journey backwards and forwards to Donna’s place.
Fees for golf gear had been for a donation Donna had requested her to make earlier than her demise, and meals bills had been associated to dinners the place Donna was mentioned, Penner wrote.
An property lawyer CBC Information spoke to mentioned an executor can spend cash from the property after somebody dies — however provided that it’s a truthful and affordable expense associated to the administration of the property.
“So if it is shopping for groceries for themselves, it won’t be affordable. If it is taking a visit to scatter ashes, that is perhaps,” mentioned Gerrit Theule, a wills and property lawyer.
The job of an executor is to make sure any money owed or tax payments owed by the deceased are paid, shut their financial institution accounts, and dole out any cash to beneficiaries, mentioned Theule. The commonest purpose somebody is faraway from the position is failing to carry out these duties.
The Manning household’s story illustrates why households ought to have open discussions with growing older family members about their needs in order that there is not any confusion after their demise, he mentioned.
Seniors is also weak to manipulation or coercion, mentioned Theule.
“There are a lot of individuals that may have [mental] capability who simply have individuals of their lives who aren’t good for them.”
No-show at courtroom hearings
Glenda and Kirk McCardle had been named as the brand new executors of their aunt’s property after Penner was eliminated below the June 2021 courtroom order, giving them extra entry to her monetary information.
The household filed a lawsuit towards Penner in 2022, looking for damages for the cash they alleged was misappropriated from the property earlier than and after Donna died.
Penner failed to seem in courtroom to defend herself and didn’t produce paperwork requested by the decide throughout quite a few hearings, in line with statements made at a ultimate listening to on Dec. 4, 2023.
Penner did not present as much as that listening to both.
The decide made a default judgment towards her for over $240,000, together with cash owed to the property together with punitive damages and curiosity.
Regardless of the judgment, with a purpose to recoup the cash they’re owed, the household has to determine the place Penner banks and serve garnishment papers to these monetary establishments. Proper now, about $800 is garnisheed from Penner’s wages and paid to the property every month.
However at that fee, it should take 25 years to repay — so the household needs a courtroom to extend the month-to-month quantity.
Regardless of the ruling of their favour, the household realized earlier this 12 months Penner won’t face felony fees for the alleged fraud. Police referred the case to the Crown, however prosecutors would not authorize fees.
“I’m upset and indignant,” mentioned Glenda. “This is unnecessary. There’s a paper path of proof.”
The household of the late Donna Manning, 82, say tens of 1000’s of their aunt’s cash was spent by a lady she thought was her buddy.
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