HomeMy WebLinkAbout12-22-09GUARDIAN'S INVENTORY
COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA
ORPHANS' COURT DIVISION
Estate of Sven O. Jensen , an incapacitated Person
No. 21-04-0807
t _ Real Estate: (Location. by wham occupied and rental 'Estimated Value:
~ Sub-Total for Real Estate: ~~ $o.oo ~
2. Personal Pro a ; Estimated Value:
Sovereign Bank #351060855 $1,864.00
Sovereign Bank #io54o75026 $158397.83
Cash found in home $202.98
Jackson National Insurance -IRA #1005683323 $260,229.29
2002 Ford Winstar $3,905.00
Sub-Total for Personal Property: $424~599•l0
3. Jointly Held Property: EEstimated Value:
(Set fourth real and personal property owned by the Incapacitated person JOIIVTLYwith any
other person(s). State whether held as tenants by the entireties; if not, whether the right of
suruiuorshin exists.)
317 Carol Street, New Cumberland, Cumberland County, PA
Parcel #26-23-0543-030 -Assessed value - $159,870 $79935.00
Held Joint Tenants with Right of Survivorship with his wife,
His wife, Barbara Fowler '~~ ' ~~; _; _ , ,
_. y,
,
f-1~1i~-, ,.,j ~~
E ~`~i.!
~~~ fi~,1l~ L,t,
i
• ~ V ~~(~
~ ~ ~ _^t
~~ I it t ,...I~_:
Page 1 of 2
Estate of Sven O. Jensen an incapacitated Person
4. Anticipated Assets: i Estimated Value:
(Set fourth property of any kind expected to be acquired hereafter, together with
anticipated date of acquisition.)
~'oP~'fiJ Anticipated Date
ofAcquisition ~
Sub-Total for Personal Estate $o.oo
(Attach additional sheets if necessary)
TOTAL OF ITEMS 1~ 2, 3~ and 4: ...................................................................... I
~~04~5~4.io
5. Monthly income:
~ Social Security
$1,864.00
~ Total of monthly income $1,864.00
Commonwealth of Pennsylvania
County of Dauphin
ss.
Keystone Guardianship Services ,says that the foregoing is a full,
(Guardian)
True and complete Inventory of the Estate of Sven O. Jensen
The aforesaid Incapacitated Person or Minor; and that all of the information set lforth herein is
True and correct to the best of the Guardian's knowledge and belief.
I verify that the statements made in this )
Inventory are true and correct. I under- )
Stand that false statements herein are )
made subject to the penalties of ) ~
i8 Pa.GS. § 4904 relating to unsworn ) uardian
Falsification to authorities. )
Page 2 of 2
INITIAL OVERVIEW REPORT OF
GUARDIAN OF THE ESTATE
COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA ORPHANS' COURT D
Estate of Sven O. Jensen . an
No. 21-09-0807
I. INTRODUCTION
® Plenary ^ Limited Guardian of the Estate by Decree of
dated September 29, 2009.
^ A. This is the Initial Report for the period from September 29, ,
J.,
to _ December 1, 2009 (the "Repoi}t Period"); or
^ B. This is the Final Report for the period from
to (the "Report Period"), and i~ filed
for the following reason:
1. The death of the Incapacitated Person. Date of death:
Name of Personal Representative:
2. The Guardianship was terminated by the Court by Decree of
J., dated
Person
was appointed
page 1 of 3
Estate of Sven O. Jensen , an Incapacitated Person
II. INFORMATION:
A. Keystone Guardianship Services is the Court Appointed Guardian of the Estate o Sven O. Jensen
who resided at Manor Care in Carlisle, PA until December 7, 2009 at which time a was moved
due to the request of Manor Care to Arden Courts -Susquehanna of Harrisburg, ocated at 2625
Ailanthus Lane Harrisburg, Dauphin County, Pennsylvania ;and,
B. Barbara Fowler, wife of Sven O. Jensen, who is presently residing at Green Ridg Village,
Newville, PA, appointed her sister, Sandra Young of 69 Dennis Drive, Amherst, assachusetts
01002, as her agent Agent under a Power of Attorney dated July 28, 2008; and,
C. To the best of the Guardian's knowledge Sven O. Jensen and Barbara Fowler hel assets solely in
their individual names with the only known exception being the real estate in whi h they resided;
and,
D. The real estate known as 317 Carol Street, New Cumberland, Cumberland Coun ,Pennsylvania
is deeded to Sven O. Jensen's wife, Barbara Fowler, joint tenants with right of su ivorship; and,
E. The Guardian has determined that Sven O. Jensen and his wife, Barbara Fowler, le their Federal
and State Income Tax Returns jointly; and,
F. The Guardian found the largest asset of Sven O. Jensen is an IR.A with Jackson N tional Life
fixed annuity which Sovereign Bank offers through there investment services thr ugh a
contractual agreement with LPL Financial Corporation ("LPL"), on which then ed beneficiary
is Barbara Fowler.
G. The Guardian's attorney wrote a letter to Joseph Merrullo, Compliance Administr for ,
Investment Services at Sovereign Bank and received the attached reply. (Attachm nt "A"); and,
The major features of the annuity are:
1. First Year interest rate of 5.8%; and,
2. guaranteed rate of no less than 3% for as long as the contract is held; an ,
3. up to 10% can be withdrawn annually without penalty this amount incl des the
required minimum withdraw; and,
4. provides for nursing home and terminal illness waivers for access of ad itional funds
without penalty.
H. The Guardian met with Jeff S. Howe on December 10, 2009, and discussed the Ja kson National
Insurance Annuity purchased through Sovereign Bank in detail confirming and ex laining the
features of the annuity; and,
I. Due to the facts and findings relative to this Ward, the Guardian Inds no need to
review the information found with a representative of the Elder Abuse Task Fora
and
Page 2 of 3
Estate of Sven O. Jensen . an Incapacitated Person
I verify that the foregoing information is correct to the best of my kn wledge,
information and belief, and that this Verification is subject to the penalties of 18 Pa.C.S § 4904
relative to unsworn falsification to authorities.
~~
v? D ~~~~~
Date Signature of Guardian of the Estate
Constance E. Stoneroad
Name of Guardian of the Estate (type or print
PO Box 804
Address
Elizabethville Pa 17023
City, State, Zip
717-265-4056
Telephone
Notes. This report was prepared and submitted to the Court for informational pur ses due to the
unusual situation and or circumstances of this Ward. The Guardian finds this to be an unusual
situation with different people and or entities responsible for and accountable for heir decisions.
The situations to be encountered will be very d~erent, and may be d~cult and sens'tive to handle
and will take much time and personal touch . Petitions and Annual Reports will e submitted as
needed and required to keep the Court informed.
Page 3 of 3
7 I LPL Financial Peter W. Gillies
Vice President
Assodiate Counsel
One Bacon Street, 22nd Floor
Boston, MA 02108-3106
peter.gillies@Ipl.com
617 89 4166 direct
800 77 4575 ext. 4166
617 42 8589 fax
November 18, 2009 ~
i
Rebecca J. Margerum, Esq. ~
4054 Route 225 ~
Elizabeth, PA 17023
Re: Sven Jensen
Dear Ms. Margerum: ~
This letter is in response to your letter dated November 10, 2009 to Joseph Me rullo
concerning Mr. Jensen's purchase of a Jackson National Life fixed annuity in July 200 .
Sovereign Bank offers investment services at its branch locations through a contractua agreement
with LPL Financial Corporation ("LPL"), and Mr. Jensen dealt with LPL registered
representative Jeffrey Howe and Sovereign Bank employee Holly Freundel in connecti n with
this transaction. Accordingly, Mr. Merrullo referred your letter to LPL for review and esponse.
I have reviewed this matter with Mr. Howe and Ms. Freundel, and reviewed LPL's rec ids of this
transaction. Based on my review, the following appears to be an accurate chronology f events.
Back round
Prior being introduced to Mr. Howe, Mr. Jensen had previously dealt with Ms. Freundel
at the West Shore Plaza branch for approximately five years (at that time, Sovereign o ered
investment services through a contractual agreement with IFMG Securities, Inc. ("IFM ")).
Over that period of time, Mr. Jensen spoke frequently with Ms. Freundel about invest ent
options that he might consider when he retired for his retirement assets. These typicall included
bank certificates of deposit and fixed annuities. Ms. Freundel noted that Mr. Jensen w s
attendant to the details of his finances over this period of time, and often requested prin outs of
his balances so that he could keep track of the rates he was earning and his overall fina cia)
circumstances. In November 2008, Mr. Jensen told her that he planned to retire the fol owing
spring or summer. She reviewed with him the process for rolling over his 40l (k) with he
Pennsylvania Bar Association. In January 2009, she contacted him to let him know tha she was
transferring to the Harrisburg branch, and that he could continue to work with the perso nel at the
West Short Plaza branch, or with her at her new location.
In June 2009, Mr. Jensen and his retirement advisor from the Pennsylvania Bar
Association came to see Ms. Freundel for assistance with his retirement. Along with re iewing
the rollover process, they discussed investment options, including IRA certificates ofd posit,
money market accounts, and fixed annuities. Both Mr. Jensen and his advisor appeared to be in
agreement that the fixed annuity would be a suitable investment, due to its contractual guarantees
and higher rates of interest than what was available from the other alternatives. Mr. Jen en stated
that he wanted to review these options with his wife. Accordingly, a meeting was sche uled for
July 10, 2009 at their home, which Ms. Freundel and Mr. Howe attended.
Member FINRA/SIPC ATTACHMENT "A"
LPL Financial
At the July 10, 2009 meeting, Mr. Howe and Ms. Freundel reviewed the investment
options for the 401(k) rollover. They both recall that Mr. Jensen's principal investmenjt objective
was safety of principal, and that he did not expect to require access to these funds for income.
They discussed that the Jensens had approximately $140,000 liquid in a money market account,
as well as a monthly pension and social security. They discussed that, because it was n IRA, he
would be required to take minimum distributions annually from the contract, but Mr. J nsen
stated that he did not expect that he would need those distributions to fund income nee s. They
again reviewed IR.A certificates of deposit, money market accounts, and fixed annuitie ,
including the Jackson National product. They noted that this product offered a first ye r interest
rate of 5.8%, and then guaranteed him a rate of no less than 3% for as long as he held t e
contract. They also noted that up to 10% could be withdrawn annually without penal ,and that
the product provided for nursing home and terminal illness waivers for access to additi nal funds
without penalty. In connection with this discussion, they reviewed the enclosed Jacks n National
informational brochure. Both Mr. and Mrs. Jensen appeared to be in agreement that th s would
be a suitable investment, and Mrs. Jensen stated that it would be Mr. Jensen's decision to make.
After the meeting, Ms. Freundel called Mr. Jensen and told him that they woul contact
him when the rollover check had been received by the bank, and that they would sched le another
meeting with Mr. Howe to review the product again. This follow-up meeting occurred at the
Harrisburg branch on July 14, 2009, when Mr. Jensen came in to meet with Ms. Freun el and Mr.
Howe. They again reviewed his and Mrs. Jensen's financial circumstances, and discus ed his
investment options. Mr. Jensen agreed that he wished to purchase the Jackson Nationa fixed
annuity, and signed the enclosed paperwork.
On August 4, 2009, Mr. Howe met with Mr. Jensen to deliver the contract,
reviewed its terms. The current status of the contract is as follows:
Total Deposits: $253,882.23
Contract Option Value: $263,092.09
Free Withdrawal Amount: $26,309.20
Cash Surrender Value: $230,781.39
Discussion
again
Based on my review of this matter, I have found no basis to accede to your req est that
the contract that Mr. Jensen purchased be rescinded. As an initial matter, it appears th the
transaction was fully discussed, documented, and authorized. Both Ms. Freundel and r. Howe
also do not recall observing any apparent cognitive deficiencies that Mr. Jensen may h e been
experiencing. As noted above, Ms. Freundel had known Mr. Jensen for approximately ive years,
and did not perceive any change in his behavior or apparent cognitive capacity in the 2 09
meetings from what she had previously observed. That perception appears to have bee shared,
moreover, by the representative of the Pennsylvania Bar Association who accompanied Mr.
Jensen to the initial meeting with Ms. Freundel at the bank, and by Mrs. Jensen, who st ted at the
July 10, 2009 meeting that this was Mr. Jensen's decision to make. I intend no disresp ct, but if
there were any apparent incapacities at the time of the 2009 meetings, it seems likely th t would
have been noted by one or more of these persons at the time.
I also do not agree with your assertion that the investment is not in Mr. Jensen' best
interests. It provides for guaranteed rates of return on atax-deferred basis that were an are
higher than other alternatives, and provides for 10% annual surrender-free withdrawals, as well as
nursing home and terminal illness waivers for access to additional funds in those event alities.
Member FINRA/SIPC
LPL Financial
Conclusion
For the above reasons, LPL and Sovereign Bank do not agree to your request hat the
contract that Mr. Jensen purchased be rescinded.
i
Thank you for your attention to this matter. If you have any questions, please feel free to
contact me.
i
Vey truly yours,
d, e ~ ~
?` ~ i 1
7 ~ 1[
Pet r ~ . Dillies ~~~~'
Enclosures
Member FINRA/SIPC