A MOTHER has revealed the heartbreaking moment she was told her son’s trust fund money had gone missing.
Donna Rollins of Apple Valley, California, gave birth to her son Matthew 22 years ago, but his premature arrival at just 26 weeks means he needs constant care and support.
Born with cerebral palsy, Matthew is confined to a wheelchair, and the daily arrival of nurses takes a toll on the family.
“Matthew is a 24-hour job,” Rollins told NBC News affiliate WFLA.
“He is very active in our community. We have a nurse who comes in every day and helps me throughout the day,” added Matthew’s mother.
In 2013, with Matthew’s care and future in mind, the family created a trust fund with the Special Needs Trust Administration Center in St. Petersburg, Florida.
They did this after Matthew received a $50,000 payout following a botched surgery in 2013.
“It was supposed to go into a trust fund so Matthew could have access to it after he turned 18,” his mother explained.
The trust fund allowed Matthew to continue receiving government benefits.
However, before he could access his money, the family received a brutal letter informing them that it would no longer be possible for Matthew to do so.
“Out of the blue, we got a letter from the center,” Rollins said.
Rollins and 1,500 other families received letters informing them that the fund’s money had disappeared into thin air.
The center’s founder, Leo Govoni, is accused of taking more than $142 million in funds and putting it into other businesses he oversees.
This was followed in February with the center filing for bankruptcy, leaving families destitute.
The Center for Special Needs Trust Administration was one of the largest trust fund administrators in the country, according to the Tampa Bay Times.
When the center filed for bankruptcy, court filings stated that Govoni and his partners used the lost money to provide an “unsanctioned loan” to Boston Finance Group, another company run by Govoni, according to the news outlet.
Rollins revealed that there is only $17 left in Matthew’s trust fund and that now all they can do is wait after filing a claim with the bank.
“I felt like putting his money in a trust fund was safe. I never imagined he could disappear like that,” Rollins said.
‘RESPONSIBLE’
Florida Attorney General Ashley Moody is leading civil litigation against Govoni, accusing him of an “unjust” theft.
The founder and his business partners are accused of depriving and deceiving beneficiaries.
What is a trust fund?
A trust fund holds assets in various forms intended for a particular individual to access when they are eligible to receive them.
This is sometimes based on the age of the recipient or may occur upon the death of the previous owner of the assets.
A grantor places assets in a trust for a beneficiary who has a legal right to those assets.
A trustee is also appointed as part of a trust fund and makes decisions about the distribution of assets, ensuring that it is carried out properly in accordance with the terms of the trust.
Assets can be anything, including property such as heirlooms and jewelry, to real estate, stocks, bonds, businesses, and cash.
Source: Forbes Advisor
An emergency injunction was filed by the Attorney General and a judge froze all of Govoni’s assets.
The Federal Bankruptcy Court is currently handling the case while an investigation into the money and its potential recovery continues.
“I hope they can figure this out and hold them accountable, hold them accountable,” Rollins said as his concerns grew over the number of families affected who may not yet know about it.
At a hearing last week, several Govoni companies handed over thousands of documents dating back 15 years that may be related to the missing money, according to WFLA.
Meanwhile, about 900 of the center’s trust funds still contain some money, and following the company’s Chapter 11 filing, the court-appointed bankruptcy trustee is pushing for the funds to be placed under a new trustee.
That could happen next month, according to the news outlet, though it’s not yet clear when or if the families involved will see that money.
“This company should not be managing trusts,” court-appointed trustee Michael Goldberg, an attorney with the Akerman law firm, said at a hearing.
“He has not earned the right to do so based on his past conduct.”
Govoni’s next hearing is scheduled for July 23 in federal court in Tampa.
This story originally appeared on The-sun.com read the full story
