Eighteen charged in NY bank fraud, ID theft scheme
Reuters reports that 18 people have been indicted in New York City for operating a bank fraud and identity theft scheme that resulted in the cashing of more than 1,000 counterfeit checks at several large banks.
The defendants are accused of obtaining bank customers’ personal data with the help of insiders who they recruited for the operation.
At least 17 banks were targeted, including JPMorgan Chase & Co, which suffered over $1.446 million in fraudulent charges. HSBC Holdings, Toronto-Dominion Bank and Wachovia, now part of Wells Fargo & Co. also suffered “substantial fraud.”
Among the roughly 350 compromised accounts were those of New York City’s police department, board of education, finance department, housing authority and transit authority, as well as corporate accounts of Bed Bath & Beyond Inc, designer Diane von Furstenberg, Cablevision Corp’s Madison Square Garden and several hospitals, prosecutors said.