My question involves personal finance in the State of: indiana and michigan
I wrote another attourney asking advice but ill share in case anyone knows anything about utmas
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First off I'm having issues finding anyone knowelgable in utma acts, I
strongly feel as if I could go to court and do a better job than the
attourneys I've spoke with. The issue we are having seems uncommon.
Digging right into it:
In 2000 2 utma funds were setup by my wife's grandma in the amount of
$40,000. These lost $24,000 in value since these monies were in global
investment and small cap funds. Sometime between 2000-2002 an additional
account was setup with at least $13,000. Finally in 2002 an account was
setup in the amount of $6,000.
Accounts number one was moved to 3 different lower risk accounts in 2001
after loosing value.
In 2003 all 4 accounts were closed totaling over $20,000 with account number
3 in the sum of $6,000 was untouched. My wife was 14 years old and did not
receive any money.
In 2006 the custodian gave $3,495 out of the remaining fund to her for
cosomotology school. Over $13,000 was spent in her benifit with only $3,495
being removed from the account. The custodian bought her a car and other
necessary expenses covered. The custodian claimed she could not have the
funds to age 25 and refused to release any information regarding any
accounts, also that there was only $6,000 left due to "losses in the
market".
When my wife turned 18 she requested funds because we were homeless, denied.
She is now 20 and the custodian refuses to hand over the account claiming
she can't have it till age 25. There is no age for custodianship to
terminate placed on any of the accounts at any time. We reside in Indiana
and the accounts were concieved in michigan.
Our assumption is that the custodian advoided taxes by abusing the
benificary's tax id by using UTMAs. The custodian is of age that she is
likely to pass by the benificary is 25. The money being placed into high
risk accounts also support this, a big return for the custodian.
I see many breaches of indiana and michigan utma acts including the gift
being revoked 7 times! The laws state that the acts apply if the custodian,
trust property, transferor, or benificary resides in that state during
conception. Which acts apply and where can we enforce them? Did the
custodian revoke the gifts?
We can't even file my wife's taxes because a 1099 was never released, big
problems for us. The company refuses to cooperate without a court order even
though no age for custodianship to terminate and the custodian is
unrechable.
We wish to sue. My wife's rights were voliated and irreversable damage to
her taxid was peformed. We want full amounts of all gifts revoked plus
intrest and any and all damages.
Over 20 lawyers we have contacted fail to possess knoweldge of utma acts.
They mistakenly think it is a trust. All accounts are in fact utmas and it
clearly states in all past 1099s and the master transaction transcripts we
possess. We are going to purchase all tax transcripts from the irs to get a
better insight and to serve as proof on these issues.
We can pay out of this remaining utma when we secure it (as she has a legal
right to these funds) and we wish to hire you as our attourney or receive
recommendation on how to proceed.
We feel a certified letter demanding accounting and transfer of accounts to
minor will serve ample proof of the custodian refusing to comply, another
two infractions to utma acts. As it stands we have proof of accounts being
set up and revoked.
All of these accounts are under the benificary's tax id and name. I would
not waste your time if these were not utma accounts. There is no seperate
tax id for any account.
Thank you

