Nevada Shedding a Light on Elder Abuse

A lot of politicians, judges and attorneys ignore guardianship abuse and fleecing estates.

Update on Devon Bank, Janna Dutton and Josh Mitzen Lawsuit

Devon Bank, Janna Dutton and Josh Mitzen are suing me for defamation and are using Mr. Ziarnik’s estate to pay their attorney, Mr. Pioli from Johnson & Bell.  I agreed to remove the “alleged defamatory snippets” because I thought the case would end but it’s not.  I should have asked for a trial date and will because after Judge Atkins put the kibosh on my discovery request, I lost interest.  I got everything I need.  I removed the snippets but the Plaintiff's want me to remove a comment I made on a gentleman's website.  I appreciate the Plaintiff’s giving me this opportunity to clear the air because I agree, my website was written by a hysterical woman that watched them abuse a helpless elderly man for profit.

Please be careful when hiring an attorney, opening a trust account and ask yourself whether or not you really need a “for profit guardian”.  Mr. Mitzen is a private paid guardian like the Public Guardian’s Office only much more costly.  He hires your doctor and caregivers.  Your family member can do that free.  Once you hire an attorney and open a trust, you’re stuck with them for the rest of your life too.  Find someone that believes in “preserving the estate".

After I wrote what happened to me online, many victims contacted me (and are still contacting me.  Websites do nothing to stop this crime, you just get more victims).  I went to the courthouse to Xerox all Devon Bank’s trusts, wrote a report and investigations were ordered.  I was told by authorities that they would do something about Devon bank and that came as quite a shock.  I flew to DC to give a speech, mailed my report to the probate court judges and so on.  I met with state and federal authorities and they hate this crime as much as we do.  If you have anything regarding Josh Mitzen (in particular), Janna Dutton and Devon Bank please send them to the agencies on the cover of my report and include the Illinois Department of Professional Regulations.  I forgot that one but don't worry too much since they're on record and it will be an ongoing investigation.

Thanksgiving of 2011, I got a phone call from an authority who told me to drop by Judge Kawamoto’s courtroom.  I was out of state but sent a friend.  She said it was like show and tell.  I called my guy the next day and asked what that was all about?  The Judicial Inquiry Board was monitoring her courtroom and he said, “You’re welcome”.  He also told me she’ll be retiring soon and Chief Judge Evans was implementing a financial section on the 18th.  Sure enough, both happened.  There is another blog and group taking credit for all this but like I said, websites and blogs do NOTHING.  You have to get up and introduce yourself and need a big document to get your foot through the door.

I heard that Mr. Ziarnik was near death in 2012 when I got SLAPPed with a defamation lawsuit billing his estate.  I will upload the lawsuit again so you can read my blog and website in it's entirety.  I hired Ed Belz to defend me and he blew it.  This is my answer to their complaint.  I can’t even talk about the two years of lies he told me.

May of 2015, I just wanted it over and we entered into an Agreed Order that I would remove the snippets but the Plaintiff's tried to pull a fast one.  They wrote that I would agree not to talk about my report, flying to Washington, meeting with authorities, etc., and added my colleagues wouldn't either. What colleagues?!  If I agreed to that, I’m giving the Plaintiff’s blanket protection.  I’m sure anyone who talks about them truthfully is my colleague.  I tell everyone Devon Bank sued me and are using estate funds, do they want that to happen to them?  No one is going to talk about Devon Bank until they withdraw all their money first.

I wouldn't agree to their terms and said I want a trial.  I found out Richard Block (bank trustee) was put on administrative leave in 2013 then disciplined by the Illinois Department of Professional Regulations here.  The trustee from Devon Bank confessed to cheating his customers and the bank thinks this is perfectly okay?  It gets even better.

After much teeth pulling, I finally get a copy of Mr. Ziarnik's bank statement.  The Department of Professional and Financial Regulations - Division on Banking investigated within weeks of my report being mailed.  It was in June of 2011 that Devon Bank knew Block would be disciplined and instead of giving me an apology, they sued.  Can you believe this? I'm doing that bank a favor by letting them know their trustee is not doing what's in their best interests, is exploiting their customers and instead of thanking me for pointing it out, they sue.  Read the complaint and make up your own mind about this bank.

Mr. Ziarnik is now bankrupt.  One million dollars was utilized and they're still billing him.  I will break down how much everyone made off the poor soul.  Do you want to know what his heirs say?  Isn't nice that he thought of me?  Maybe the Plaintiff's should think about it's the thought that counts NOT the gift.

Lastly, don't ever think one person can't make a difference in this world or that government doesn't care. Getting sued for defamation was worth it and getting my discovery was the single most humbling experience of my life. I had no idea they investigated Devon Bank or the bank trustee.  It's not flattering to that bank and I didn't hire the man. Just pointed out his character.

I also can't delete the comments I made because I just used my email address then asked them to send me follow up comments.  I hope he publishes my new one.

https://woodgatesview.com/2011/02/11/could-elder-financial-abuse-become-the-crime-of-the-21st-century/

Devon Bank Trustee Disciplined - Richard Block

This bank is still suing me for defamation because of what I wrote in regard to Block's character. Janna Dutton (Elder Law Attorney) is in full support of him. Here's his rap sheet:

https://www.idfpr.com/banks/cbt/enforcement/2015/BlockConsentOrder01142015.pdf

Don't ever give up on elder abuse.  Authorities told me in 2011 that even though trusts aren't regulated, they will get Richard Block.  I filed the report I wrote on court record a year later and thought if Block were forewarned, he'd be forearmed then lay low.  Authorities told me it won't matter since he can't help himself. One down, two to go.  Devon Bank, Janna Dutton, Josh Mitzen and their attorney's are still exploiting Mr. Ziarnik and humiliating themselves in the process.  

There is a new VP of Trusts, Mr. Benz.  He returns emails.  That's a good sign because people out to exploit an elder won't bother.  I have no complaints about him either and he's been there for a while.  Whether or not he can "preserve an estate", I can't answer.  The only thing Mr. Ziarnik's heirs were expecting to inherit six years ago was a lawsuit.  So, I can't complain.  If you have an abusive guardianship, please report it to:

FBI, FDIC, FTC, States Attorney (Cook County), Attorney General, all your Senators, Elder Protective Services and, in particular, Chief Judge Evans or any Chief Judge at the courthouse.  This also works in neighboring counties.  Several of my victims reported abusive guardians to the Chief Judges and received a response the next day.  They want the Guardian of the Person stopped.

Elder Justice Website

“Dear colleagues
The Department of Justice is developing and scheduled to launch, in early 2014, a new Elder Justice Website to serve as a resource to elder abuse prosecutors and others. One key component of the website is a repository of federal and state court pleadings in elder abuse, neglect and exploitation cases. We hope this repository will ameliorate at least one of the barriers to elder abuse prosecutions, namely the lack of training and guidance. we are currently looking for good examples of publicly filed documents (e.g., indictments or informations, motions, and sentencing memoranda) in every state. As we hope to launch the website in early 2014, we need to have all submissions by December 16, 2013. If emailing the documents is inconvenient, please feel free to email us cases with the docket numbers and county/state name so the pleadings can be retrieved from your local clerk of court at our expense/effort. Your submission can make a huge difference not just to other prosecutors, but also to elder abuse victims as well.” I do have contact information if anyone needs it. Have a good evening.

Elder Abuse - Fraud Awareness Campaign Urged by GAO

JULY 12, 2013 • TED KNUTSON

The nation needs an elder abuse awareness campaign, including information on how to prevent seniors from falling victim to financial fraud, according to a General Accountability Office study.

Financial fraud against the elderly can take longer to investigate than other types of senior abuse because financial records can be difficult to obtain and because it is often harder to prove than physical or emotional abuse, according to the GAO report released Wednesday.

In May, the federal Elder Justice Interagency Working Group recommended developing strategies for combating financial exploitation in collaboration with the financial industry. The recommendations included launching an elder justice Web site and a national awareness campaign.

GAO, the investigative arm of Congress, said a national campaign should be run jointly by the U.S. Health and Human Services and Justice departments.

Janna Dutton, Josh Mitzen, Richard Block, Sally Griffin and Devon Bank should be proud of themselves.  They're helping me make so much progress!

Banks Seen as Aid in Fraud Against Older Consumers

The pitch arrived, as so many do, with a friendly cold call.

Bruno Koch, 83, told the telemarketer on the line that, yes, of course he would like to update his health insurance card. Then Mr. Koch, of Newport News, Va., slipped up: he divulged his bank account information.

What happened next is all too familiar. Money was withdrawn from Mr. Koch’s account for something that he now says he never authorized. The new health insurance card never arrived.

What is less familiar — and what federal authorities say occurs with alarming frequency — is that a reputable bank played a crucial role in parting Mr. Koch from his money. The bank was the 140-year-old Zions Bank of Salt Lake City. Despite spotting suspicious activity, Zions served as a gateway between dubious Internet merchants and their marks — and made money for itself in the process, according to newly unsealed court documents reviewed by The New York Times.

The Times reviewed hundreds of filings in connection with civil lawsuits brought by federal authorities and a consumer law firm against Zions and another regional bank that has drawn even more scrutiny, First Bank of Delaware. Last November, First Delaware reached a $15 million settlement with the Justice Department after the bank was accused of allowing merchants to illegally debit accounts more than two million times and siphon more than $100 million.

The documents, as well as interviews with state and federal officials, paint a troubling picture. They outline how banks profit handsomely by collecting fees while ignoring warnings of potential fraud and, in some instances, enabling dubious merchants to prey on consumers.

Anyone, young or old, can be targeted by unscrupulous marketers. But for several reasons — financial worries, age, loneliness — older people are particularly vulnerable to what is known as mass market fraud, deceptive pitches that arrive by telephone, mail and the Internet.

The problems at Zions and First Delaware, where the banks became financial conduits and quiet enablers for questionable businesses, extend well beyond those two institutions, federal authorities say. Indeed, banks across the country, from some of the largest to smaller regional players, help facilitate billions of dollars of fraud each year, according to interviews with consumer lawyers and state and federal prosecutors.

Officials at the Justice Department say they are taking aim at banks’ role in giving predatory lenders and fraudulent merchants access to the United States financial system. The department is considering civil and criminal actions against a number of banks for allowing tainted money to flow through branches, for failing to safeguard against suspicious merchants, and for originating transactions on behalf of businesses that they know make unauthorized withdrawals from customer accounts, according to people with direct knowledge of the matter.

“You can’t close your eyes anymore to the fraud that you are allowing to happen,” said Michael Blume, the director of the consumer protection branch at the Justice Department. “Banks are in business to make a profit. Unfortunately, this is a moneymaking operation at consumers’ expense.”

Zions did not interact directly with the company that called Mr. Koch, National Health Net Online. What the bank did was establish a banking relationship with an intermediary, Modern Payments, that handled payments for National Health. Mr. Koch’s account at a small Virginia bank was debited by National Health, which in turn paid Modern Payments for processing the transaction. Modern Payments gave its bank, Zions, a cut of its fee.

In all, Zions in effect let roughly $39 million be withdrawn from hundreds of thousands of accounts from 2007 to 2009. Much of that money was ultimately transferred to bank accounts in Canada, India and the Caribbean, according to a Times review of court records. Many of the Internet merchants’ customers were older people and others on shaky financial footing. But that, too, worked in banks’ favor: the withdrawals set off a cascade of insufficient fund fees — more than $20 million in all, court records show.

“Zions takes seriously the need to prevent the banking system being used for fraudulent purposes; however, it is our general policy not to comment on pending legal matters,” said James R. Abbott, director of investor relations for Zions. “There is another side to this story, other than that told by the plaintiff. Our side of the story will be told at the appropriate time through the legal system.”

A spokesman for First Delaware declined to comment. Neither National Health Net Online nor Modern Payments responded to e-mails and telephone messages.

Mr. Koch, a retired teacher, said that he was usually skeptical of telemarketers. But when his phone rang one afternoon in November 2007, he recalled, he listened as the caller identified himself as a Medicare official and suggested that Mr. Koch update his health insurance card. Mr. Koch, as requested, supplied his bank information.

But instead of a new insurance card he received notice that he had been enrolled in National Health Net Online’s discount health plan. The company had withdrawn $299.95 from his bank account as payment, according to records reviewed by The Times.

National Health, a unit of NHS Systems Inc. of Collegeville, Pa., has a troubled history. In April, the Federal Trade Commission permanently banned the company from telemarketing and ordered it to pay a $6.9 million fine after accusing NHS Systems of defrauding consumers. NHS Systems did not return multiple telephone calls seeking comment.

“I was so angry,” Mr. Koch recalled. He demanded a refund from NHS Systems but was not reimbursed.

Between 2007 and 2009, tens of thousands of Americans, many of them over age 65, lodged complaints with state attorneys general, banking regulators and the F.T.C., requesting refunds for bank charges that they say were unauthorized, according to court records.

Lawyers at Langer, Grogan & Diver sued Zions, representing several hundred thousand consumers who said that NHS Systems and other telemarketers took money from their accounts without authorization. The lawsuit, which is pending in a federal court in Pennsylvania, claims that Zions effectively gave “fraudulent marketers direct access to every bank account in the United States.”

According to internal e-mails and other documents filed in connection with that suit, Zions bankers recognized something was amiss early on. An outsize number of customers were disputing payments to certain processors. The rates of return — that is, the percentage of payments that are returned for insufficient funds and lack of authorization — stood out. “WOW,” one Zions officer wrote in an e-mail after seeing the numbers.

Others inside Zions raised alarms, too. Zions executives told colleagues that the high return rates were a troubling sign. In January 2007, one warned that the rates were “staggering.” In 2007, more than half of the payments that one Internet merchant was routing through Zions were bounced back — roughly 40 times the industry standard.

Reviewing complaints about one Internet merchant, a Zions vice president wrote, “Every red flag possible went off in my head.”

And yet the bank kept handling the transactions, court records show. Why? One payment processor executive suggested an answer: the business was a gold mine.

“Turning them off and sending them somewhere else is not an option,” this executive told Zions in an e-mail in September 2007.

Officials at the F.T.C., the Justice Department, the Consumer Financial Protection Bureau and the Federal Deposit Insurance Corporation say this is just the tip of the iceberg, according to people with knowledge of the matter.

In a move that prosecutors say is a harbinger, the United States attorney in Philadelphia sued the First Bank of Delaware in November, claiming the bank effectively abetted “fraudulent Internet and telemarketer merchants,” court records show. The bank, the lawsuit claims, stayed “willfully blind” to the fact that the merchants were illegally taking money from customers, including a disproportionate number of seniors, through “fraud, trickery and deceit.”

Like Zions, First Delaware dealt with intermediaries rather than directly with the merchants.

But as Zane David Memeger, the United States attorney in Philadelphia, said in the lawsuit against First Delaware, bad actors “must access the banking system to gain access to the consumer’s money.”

At First Delaware, return rates for some merchants exceeded 80 percent. Yet the more questionable the merchant, the more fees a bank stands to collect, prosecutors say. Every time victims flag an unauthorized charge and demand money back, banks collect fees to process the return. Those fees are far larger, according to banking documents, than the ones charged for processing the original transactions.

First Bank of Delaware anticipated that revenue from its processing business would swell by more than 1,300 percent, from $150,000 in 2010 to roughly $2 million a year later, court records show.

Bradly D. Swartz, of Meshoppen, Pa., learned firsthand how much such practices can cost consumers. Mr. Swartz, 59, was trying to stretch his retirement savings when a telemarketer called in 2007 with what sounded like good news: Mr. Swartz had won a prize. All he had to do to collect was fill out a money order.

Then, starting in 2007, Mr. Swartz said, a subsidiary of NHS Systems — the same company that Mr. Koch had dealt with — started withdrawing $19.95 a month from his checking account. After emptying the account, National Health referred him to a debt collector, Mr. Swartz said.

Mr. Swartz said his credit was ruined. He now works part time at Walmart to supplement his savings.

“I have to work until the day I die, and these greedy banks just profit,” he said.

Federal officials say banks not only must know their customers, but also their customers’ customers in order to ensure that consumers in general, and older Americans in particular, are not at risk. The First Delaware case, they say, is a warning to the industry.

“Nothing sharpens the focus for banks like an enforcement action,” said Michael Bresnick, the director of President Obama’s Financial Fraud Enforcement unit.

Devon Bank Text Message Scam

This phone number is fraudulent . 228-831-5223

I don't think anyone infiltrated the bank since the Feds would force them to say something.  I think it's just a random person hoping you have an account here and asking for your personal information.

Don't give out your account information to anyone. 

If you fell for this scam, I'm so sorry.  I don't know why this bank doesn't step up and take better care of their customers?  You can call Devon Bank at this number 866-683-3866 toll free or contact them at bank@devonbank.com.  I would email the president of this organization or one of the other heads. RLoundy@devonbank.com or ILoundy@devonbank.com.  People have told me that their customer service isn't very good so, you may want to go straight to the top (although, I've been that route and wasn't very successful.)

I'm sure the bank will make a statement when they're finished cooperating with authorities, I hope.  Also, be very careful in regard to what you publish about this bank since they'll sue you for defamation even if you're publishing the truth. They're a bunch of bullies so this scam may be perpetuated by the owners just to make a couple of $$$ off you, I don't know.  I just know I'm being notified and I know another scam when I hear one.