Joan McCarthy, 54, is handcuffed by a sheriff’s officer at provincial court in St. John’s. Her lawyer, John Duggan, speaks with McCarthy before she is sent to prison. (Danny Arsenault/CBC)
A former Newfoundland and Labrador investment advisor who swindled at least $710,000 from elderly clients over a 13-year period has been ordered to pay the money back and serve a federal prison sentence.
Joan McCarthy, 54, worked at MD Financial Management, an investment company which serves physicians and their families. The fraud was discovered during a company audit in 2019 and was reported to the Royal Newfoundland Constabulary, a St. John’s court heard Wednesday afternoon.
McCarthy, who was employed at the company since 2000, had already quit by the time the fraud was discovered.
McCarthy had been facing 24 charges, including multiple counts of fraud over $5,000, forgery, uttering a forged documents and possessing property obtained by crime.
She later pleaded guilty to five charges, admitting to defrauding one couple of over $357,000, a woman out of over $260,000 and taking over $92,000 from a male client. There had been other victims, but they have since died, said Crown prosecutor Scott Hurley.
“Just that I’ve hurt a lot of people. I’ve hurt my victims, I’ve hurt my family and coworkers. I regret that and I’ll regret that for the rest of my life,” McCarthy said when asked if she wanted to address the court.
Provincial court Judge James Walsh said Joan McCarthy ought to pay back in restitution the full amount she stole from 2006 to 2019. (Glenn Payette/CBC News)
The Crown and defence offered an agreed statement of facts and asked that McCarthy serve a federal prison terms of two years plus one day, and be ordered to pay MD Financial Management $184,954 in restitution.
McCarthy’s lawyer John Duggan explained that RBC returned over $500,000 to MD Management to repay victims of McCarthy’s fraud. He said the bank has civil litigation pending against McCarthy and, as a result, he did not think the court should order RBC to be paid in restitution.
Judge James Walsh disagreed.
“Why not include the amount the bank is out?” Walsh asked, asking both sides to take a break to reconsider their submission.
“The fact is your client committed a fraud of $710,000 and any less than that amount means she profited by her own ill … behaviours.”
After a short break, Duggan returned and said his client said, “I take full responsibility, it was my actions that caused this, RBC should take the full restitution of [$515,739].”
Budging on the restitution ended in McCarthy’s favour when it came time for Walsh to accept or deny the joint submission of a two-year-plus-a-day sentence, one he said was on the low end of the sentencing range.
“The acquiescence to full restitution actually helps Ms. McCarthy in convincing me that I’m now in the range. Without that I would not have imposed the sentence,” Walsh said.
Why did she do it?
A pre-sentence report given to the court indicates McCarthy is remorseful and is at a low risk to reoffend.
Duggan said his client is not a gambler, drinker or drug user, and that the fraud was motivated by personal financial gain. He said her behaviour was in an attempt “to meet emotional needs as much as financial needs.”
Duggan pointed to “lifestyle issues” and McCarthy being “extremely overwhelmed looking after her young children and aging father.”
He said McCarthy “hopes something positive comes out of this so her children will know when you do wrong you should fess up and face the consequences.”
In addition to her criminal case and upcoming civil litigation, McCarthy was fined $1 million by the Investment Industry Regulatory Organization of Canada in January. She was also ordered to pay more than $100,000 for costs associated with her disciplinary hearing.
“She acknowledged and realized it was wrong,” said Duggan, who was retained by McCarthy before she was criminally charged.
“Financially she is ruined. She will not recover in her lifetime. She knows that.”
TORONTO – Canada’s main stock index was up more than 250 points in late-morning trading, led by strength in the base metal and technology sectors, while U.S. stock markets also charged higher.
The S&P/TSX composite index was up 254.62 points at 23,847.22.
In New York, the Dow Jones industrial average was up 432.77 points at 41,935.87. The S&P 500 index was up 96.38 points at 5,714.64, while the Nasdaq composite was up 486.12 points at 18,059.42.
The Canadian dollar traded for 73.68 cents US compared with 73.58 cents US on Thursday.
The November crude oil contract was up 89 cents at US$70.77 per barrel and the October natural gas contract was down a penny at US2.27 per mmBTU.
The December gold contract was up US$9.40 at US$2,608.00 an ounce and the December copper contract was up four cents at US$4.33 a pound.
This report by The Canadian Press was first published Sept. 19, 2024.
Losing a loved one is never easy, and the legal steps that follow can add even more stress to an already difficult time.
For years, families in Vancouver (and Canada in general) have struggled with a complex probate process—filled with paperwork and legal challenges.
Thankfully, recent changes to Canada’s probate laws aim to make this process simpler and easier to navigate.
Let’s unearth how these updates can simplify the process for you and your family.
What is probate?
Probate might sound complicated, but it’s simply the legal process of settling someone’s estate after death.
Here’s how it works.
Validating the will. The court checks if the will is legal and valid.
Appointing an executor. If named in the will, the executor manages the estate. If not, the court appoints someone.
Settling debts and taxes. The executor (and you) pays debts and taxes before anything can be given.
Distributing the estate. Once everything is settled, the executor distributes the remaining assets according to the will or legal rules.
Probate ensures everything is done by the book, giving you peace of mind during a difficult time.
Recent Changes in Canadian Probate Laws
Several updates to probate law in the country are making the process smoother for you and your family.
Here’s a closer look at the fundamental changes that are making a real difference.
1) Virtual witnessing of wills
Now permanent in many provinces, including British Columbia, wills can be signed and witnessed remotely through video calls.
Such a change makes estate planning more accessible, especially for those in remote areas or with limited mobility.
2) Simplified process for small estates
Smaller estates, like those under 25,000 CAD in BC, now have a faster, simplified probate process.
Fewer forms and legal steps mean less hassle for families handling modest estates.
3) Substantial compliance for wills
Courts can now approve wills with minor errors if they reflect the person’s true intentions.
This update prevents unnecessary legal challenges and ensures the deceased’s wishes are respected.
These changes help make probate less stressful and more efficient for you and other families across Canada.
The Probate Process and You: The Role of a Probate Lawyer
(Image: Freepik.com)
Working with a probate lawyer in Vancouver can significantly simplify the probate process, especially given the city’s complex legal landscape.
Here’s how they can help.
Navigating the legal process
Probate lawyers ensure all legal steps are followed, preventing costly mistakes and ensuring the estate is managed properly.
Handling paperwork and deadlines
They manage all the paperwork and court deadlines, taking the burden off of you during this difficult time.
Resolving disputes
If conflicts arise, probate lawyers resolve them, avoiding legal battles.
Providing you peace of mind
With a probate lawyer’s expertise, you can trust that the estate is being handled efficiently and according to the law.
With a skilled probate lawyer, you can ensure the entire process is smooth and stress-free.
Why These Changes Matter
The updates to probate law make a big difference for Canadian families. Here’s why.
Less stress for you. Simplified processes mean you can focus on grieving, not paperwork.
Faster estate settlements. Estates are settled more quickly, so beneficiaries don’t face long delays.
Fewer disputes. Courts can now honor will with minor errors, reducing family conflicts.
Accessible for everyone. Virtual witnessing and easier rules for small estates make probate more accessible for everyone, no matter where you live.
With these changes, probate becomes smoother and more manageable for you and your family.
How to Prepare for the Probate Process
Even with the recent changes, being prepared makes probate smoother. Here are a few steps to help you prepare.
Create a will. Ensure a valid will is in place to avoid complications.
Choose an executor. Pick someone responsible for managing the estate and discuss their role with them.
Organize documents. Keep key financial and legal documents in one place for easy access.
Talk to your family. Have open conversations with your family to prevent future misunderstandings.
Get legal advice. Consult with a probate lawyer to ensure everything is legally sound and up-to-date.
These simple steps make the probate process easier for everyone involved.
Wrapping Up: Making Probate Easier in Vancouver
Recent updates in probate law are simplifying the process for families, from virtual witnessing to easier estate rules. These reforms are designed to ease the burden, helping you focus on what matters—grieving and respecting your dead loved ones’ final wishes.
Despite these changes, it’s best to consult a probate lawyer to ensure you can manage everything properly. Remember, they’re here to help you during this difficult time.
TORONTO – Canada’s main stock index was higher in late-morning trading, helped by strength in energy stocks, while U.S. stock markets also moved up.
The S&P/TSX composite index was up 34.91 points at 23,736.98.
In New York, the Dow Jones industrial average was up 178.05 points at 41,800.13. The S&P 500 index was up 28.38 points at 5,661.47, while the Nasdaq composite was up 133.17 points at 17,725.30.
The Canadian dollar traded for 73.56 cents US compared with 73.57 cents US on Monday.
The November crude oil contract was up 68 cents at US$69.70 per barrel and the October natural gas contract was up three cents at US$2.40 per mmBTU.
The December gold contract was down US$7.80 at US$2,601.10 an ounce and the December copper contract was up a penny at US$4.28 a pound.
This report by The Canadian Press was first published Sept. 17, 2024.
