Jan212026
Guardianship Q&A Series

What can I do if my sibling is stealing money from an older relative while using a power of attorney? – North Carolina

Short Answer

In North Carolina, suspected power of attorney (POA) abuse is usually addressed by (1) creating a paper trail, (2) reporting suspected financial exploitation to the right agencies, and (3) asking the Clerk of Superior Court for guardianship relief if the older relative cannot protect their own finances. If there is an urgent risk of more money being taken, an interim (temporary) guardian can sometimes be requested to protect the person’s estate while the full guardianship case moves forward. If the conduct involves deception or intimidation to take an older adult’s property, law enforcement may investigate it as exploitation of an older adult.

Understanding the Problem

In North Carolina guardianship situations, the key question is: what can be done when a family member acting as an agent under a power of attorney is suspected of taking an older relative’s money for personal benefit. The decision point is whether the older relative can still understand the situation and make or change decisions about finances, or whether court involvement is needed to protect the older relative’s property. The relief typically sought is to stop further transfers, preserve records, and put a trustworthy decision-maker in place through the Clerk of Superior Court if capacity is a concern.

Apply the Law

North Carolina treats a POA agent as a fiduciary—someone who must act for the principal’s benefit, not their own. When there are red flags of misuse, the legal system generally offers two tracks: (1) investigation and potential criminal enforcement for financial exploitation, and (2) a guardianship case in front of the Clerk of Superior Court to protect the older relative and their estate if the older relative cannot manage or safeguard finances. In urgent situations, North Carolina law allows the clerk to appoint an interim guardian to prevent imminent harm to the person or the person’s estate.

Key Requirements

  • Credible concern of misuse: There must be specific facts suggesting the agent is using the older relative’s funds for someone other than the older relative, or outside the agent’s authority.
  • Need for protection of the estate: Guardianship relief focuses on whether there is an imminent or foreseeable risk of harm to the older relative’s property that requires immediate intervention.
  • Proper forum and procedure: Guardianship and interim guardianship requests are handled through the Clerk of Superior Court in the county with jurisdiction, using verified filings and a prompt hearing schedule for interim relief.

What the Statutes Say

Analysis

Apply the Rule to the Facts: Here, the concern is that a sibling (the POA agent) may be taking money from an older relative. That aligns with the “credible concern of misuse” element and raises the practical need to preserve records and stop further transfers. If the older relative still has capacity, the cleanest solution may be for the older relative to revoke the POA and put safeguards in place; if capacity is doubtful or the risk is urgent, a guardianship filing with the Clerk of Superior Court (including a request for an interim guardian) is often the fastest court-based way to protect the estate.

Process & Timing

  1. Who files: A concerned family member or other interested person. Where: The Clerk of Superior Court in the North Carolina county with guardianship jurisdiction. What: A verified petition to adjudicate incompetence (if capacity is at issue) and an application to appoint a guardian; if immediate protection is needed, a verified motion for an interim guardian. When: As soon as there are concrete red flags and a risk of continued loss; interim-guardian hearings must be held as soon as possible and no later than 15 days after service on the respondent under the interim-guardian statute.
  2. Parallel protective steps: Make a report to local law enforcement if there is suspected exploitation of an older adult, and consider contacting the financial institution’s fraud department with specific suspicious transactions. Financial institutions have their own reporting duties when they have reasonable cause to suspect exploitation, and investigating entities may be able to seek fast access to records through a district court subpoena process in time-sensitive cases.
  3. Stabilize finances: After an interim guardian is appointed (if granted), the interim guardian’s authority is limited to what is necessary to stop the harm and protect the estate while the full case proceeds. If a full guardian is later appointed, the guardian can take control of assets, marshal records, and follow the clerk’s accounting and oversight requirements.

Exceptions & Pitfalls

  • “It’s a gift” explanations: A POA agent may claim transfers were gifts approved by the older relative. The practical risk is that, without documentation (notes, receipts, written instructions), it becomes harder to prove misuse.
  • Joint accounts and access issues: If the sibling is a joint owner (not just an agent), the bank may treat withdrawals differently. That does not automatically make the conduct proper, but it can change what records are available and how quickly access can be restricted.
  • Waiting too long to preserve evidence: Delays can lead to missing statements, closed accounts, or property transfers that are harder to unwind. Early steps should focus on identifying accounts, gathering statements, and documenting specific transactions and dates.
  • Guardianship is a serious step: Guardianship can remove decision-making rights from the older relative. Courts generally expect a clear need and will tailor authority when possible, but the filing should be focused on protection and least-restrictive solutions where feasible.

Conclusion

In North Carolina, when a sibling is suspected of stealing from an older relative while acting under a power of attorney, the usual options are to document the suspicious activity, report suspected exploitation to the appropriate authorities, and seek court protection through the Clerk of Superior Court if the older relative cannot protect their own finances. If there is an imminent or foreseeable risk of harm to the older relative’s estate, the next step is to file a verified motion for an interim guardian with the Clerk of Superior Court as part of (or alongside) a guardianship case.

Talk to a Guardianship Attorney

If you’re dealing with suspected power of attorney abuse and financial exploitation involving an older relative, our firm has experienced attorneys who can help explain options, evidence to gather, and the timelines for emergency and non-emergency guardianship steps. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.

Category: Guardianship Q&A Series

Author: Pierce Law

Pierce Law Group is a North Carolina law firm focused on probate administration, real estate partition matters, and surplus funds claims across North Carolina. We know these situations often come with stress, family dynamics, and time-sensitive decisions—so we prioritize clear communication, steady guidance, and a practical plan from day one. Our goal is to make a complicated process feel manageable, while protecting what matters most to you.