Lasting Power of Attorney system has adequate safeguards

Whether a person informs family when setting up a Lasting Power of Attorney (LPA) is a personal choice, Minister for Social and Family Development Chan Chun Sing told Parliament yesterday, stressing that the scheme has adequate safeguards.

He was responding to questions from Aljunied GRC MP Sylvia Lim on the scheme, which allows a person aged at least 21 to appoint another to make key decisions on his welfare and finances should he lose the mental capacity to do so.

Ms Lim, a lawyer, asked why an option to inform others when applying for an LPA was removed from the form last month, and whether the ministry would look at bringing it back.

Mr Chan replied that it was removed after feedback from applicants, who could still, on their own, decide to share the information. "Not everyone wants to inform certain family members of their decision and that is the dilemma. We leave it to the best judgment of the individual to inform the person that he wants to inform."

The LPA system, which was launched four years ago, has come under scrutiny after a former China tour guide was accused of manipulating an 87-year-old Singaporean widow into giving him control over her assets estimated to be worth $40 million.

The widow, Madam Chung Khin Chun, applied for the LPA naming 40-year-old Yang Yin as her donee in 2012. Her niece, tour agency owner Hedy Mok, found this out only earlier this year. She then started legal action against Mr Yang, alleging that he took advantage of her aunt, who was diagnosed with dementia this year.

An LPA is issued only after a lawyer, medical practitioner or psychiatrist witnesses and certifies the application.

Yesterday, Ms Lim asked if the Government would consider an "additional check" by these professionals to ensure that the applicant is not unduly influenced. She highlighted that in Scotland, they would have to decide on the applicant's independence, based either on personal knowledge or by consulting someone else.

Mr Chan said this would be up to the certificate issuer who, regardless, is expected to do the job professionally. "I can appreciate that sometimes a second pair of eyes does help but we must always be careful not to overly burden the system," he explained, stressing that applicants should consider who they wish to appoint as donees carefully. He pointed out that the system here is "much more onerous" than in other countries, where in some instances a person does not need a professional to certify the LPA.

This article was first published on Oct 8, 2014.
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