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Board fines funeral home $1,500 after audit finds preneed contract written after death and large cash advances
Summary
After a preneed audit found a contract written 98 days after a decedent—s death and three large cash-advance payments to service participants lacking documented authorization, the Tennessee board voted Dec. 9 to assess a $1,500 civil penalty and authorized follow-up to verify disposition of funds and corrective actions.
A preneed audit presented to the Tennessee Board of Funeral Directors and Embalmers on Dec. 9 found one preneed contract had been created 98 days after the decedent—s death and that remaining trust funds were divided into three large cash-advance payments to a minister, a speaker and a musician without documentation the decedent authorized those payments. Legal staff told the board checks of about $1,956 each were issued and the respondent could not provide proof the decedent had authorized the payments or that the funds ultimately supported the assisted-living facility.
Board member…
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