Shortell Law LLC filed the attached Class Action Complaint today in Anchorage Superior Court on behalf of ten named Plaintiffs who are former wards of Thomas McDuffie and Cache Integrity Services and all others similarly situated against McDuffie, Cache Integrity Services, Deputy Director of the Office of Public Advocacy Beth Goldstein, Director of Adult Protective Services Anthony Newman, and the State of Alaska.
The Complaint alleges that Defendants neglected their duties under Alaska Statutes, and State Law to protect Plaintiffs, who are disabled adults in guardianships and conservatorships.
Plaintiffs sued their former guardian and conservator, Thomas McDuffie, the nonprofit he directed, Cache Integrity Services, and State officials, Beth Goldstein, Anthony Newman, and the State of Alaska.
According to the Class Action Complaint, Defendants Beth Goldstein and the State of Alaska were instrumental in recommending, referring, and transferring some 122 cases to McDuffie and Cache Integrity Services, failed to verify that McDuffie had an active license, and despite numerous reports of harm that McDuffie and CIS were egregiously neglecting their wards, Newman, Goldstein, and the State of Alaska failed to report, investigate, or act on reports of harm and Goldstein continued to recommend McDuffie for court appointments.
McDuffie, as Director of Cache Integrity, breached his statutory fiduciary duty to file reports, visit clients, place clients in appropriate living situations, preserve client assets, and make sure they were safe and their property was secure.
McDuffie instead failed to even visit some of his wards, was not reachable, failed to file and pay income and property taxes, sold clients' real property for a fraction of its market value, made unauthorized withdrawals of as much as $100,000 from client funds, failed to apply for benefits, failed to establish trusts, did not keep accurate records, did not file reports required by the court, and otherwise grossly neglected his duties to Plaintiffs.
The Class Action Complaint alleges that the State of Alaska, Beth Goldstein, and Anthony Newman breached their statutory fiduciary duties toward the plaintiffs. Goldstein is alleged to have written a grant for Cache Integrity Services, recommended McDuffie and Cache Integrity Services despite extremely worrisome reports of harm, failed to report on McDuffie and Cache Integrity Services' failure to file reports mandated by the court, and also alleges that the State of Alaska and Goldstein were negligent toward Plaintiffs, causing them loss of money, property, as well as medical damages, extreme emotional distress and other dignitary harms.
The lawsuit alleges that numerous reports of harm were filed with Adult Protective Services about Cache Integrity Services and Thomas McDuffie's neglect of their clients, but that Director Anthony Newman and the State of Alaska breached their statutory duties to investigate or act on these reports of harm, which compounded and prolonged the damages suffered by Plaintiffs.
Caitlin Shortell, Counsel for Plaintiffs said,
“The State and responsible officials as well as private guardians and conservators like Thomas McDuffie and Cache Integrity Services, are responsible under Alaska Statutes and State law to protect disabled individuals in guardianships and conservatorships. Defendants were shockingly irresponsible towards Plaintiffs and subjected them to severe and irreparable harm, causing them to lose millions of dollars in savings, their homes, benefits they rely upon to live. Rather than look out for Plaintiffs, the State dumped over 100 guardianship and conservatorship cases onto an unsuitable and unscrupulous party and then failed to do a thing when family members and assisted living homes filed reports of harm with Adult Protective Services. Months after the court appointed Defendant Goldstein as Special Investigative Conservator and ordered that she retain a forensic accountant, no forensic accountant has been retained and Plaintiffs still don't have the money and property that was misappropriated and mismanaged by McDuffie and Cache Integrity Services. We had hoped that Goldstein and the State of Alaska would act, but their ongoing negligence and failure to protect Plaintiffs has necessitated the filing of this Class Action Complaint. We are seeking damages and injunctive relief for Plaintiffs and all 122 former wards of Thomas McDuffie and Cache Integrity Services."

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