Tristan Snell
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NEW: While we're waiting for Judge Engoron's decision in the NY AG fraud case against Trump, the AG is already moving on to another big fraud case.

Against Citibank -- now accused of lax security features that allowed consumers get defrauded by scammers and hackers. Details:
08:24 PM - Jan 31, 2024
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Tristan Snell
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The NY AG's suit against Citibank alleges that:

1) Citibank's system does not pick up on "red flags" like an unusual device or location

2) Citibank does not respond when customers call about fraud, giving them the run-around (like making them go into a physical branch)
08:24 PM - Jan 31, 2024
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Tristan Snell
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3) One consumer got phishing message, provided account info, and scammer accessed account and tried to transfer out $35,000. Citi's system flagged the transfer - but the consumer was at work and didn't see Citi's message. Scammer repeated attempt - and Citi LET IT GO THROUGH!
08:24 PM - Jan 31, 2024
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Tristan Snell
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NY AG asserts that Citi must replace the stolen funds under the federal Electronic Fund Transfer Act.

This will be a really interesting case to watch, to see how state AG's and other govt enforcement agencies hold banks accountable, as mobile cash transfers become the norm.
08:24 PM - Jan 31, 2024
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