<\/p>\n
A New York-based bank is reportedly facing a new lawsuit after thieves allegedly looted $15.5 million from an account that belonged to a public utility firm.<\/p>\n
Garden City Park Water and Fire is suing\u00a0First National Bank of Long Island for gross negligence amid allegations that the lender acted with \u201creckless disregard\u201d and without the \u201cexercise of even slight care and slight diligence,\u201d reports<\/a> the New York Post.<\/p>\n The public utility firm, which provides potable water, emergency services and fire protection to the Garden City District in New York, says a scammer posing as a company employee emailed the bank in July requesting authorization forms for new international and domestic wire transfers.<\/p>\n According to the suit, the thieves sent back the forms with \u201cblatant\u201d forged signatures, and the bank green-lighted the request after \u201cblindly\u201d accepting the fraudulent authorizations.<\/p>\n Three days after getting the go signal, the thieves drained 85% of the funds held in Garden City Park Water and Fire\u2019s account in just four hours, moving the money to a number of accounts based in the US, China and Mexico. The thieves made a total of 15 transfers \u2013 10 of which surpassed the bank\u2019s daily transfer limit of $2 million.<\/p>\n Garden City Park Water and Fire says\u00a0First National Bank of Long Island showed \u201cshocking incompetence and negligence\u201d following its compliance with the scammers\u2019 request.<\/p>\n In a joint statement, lead counsel Jon Ward and the public utility firm\u2019s co-managing member Sahn Ward Braff Coschignano say that what happened was \u201cevery bank customer\u2019s nightmare.\u201d<\/p>\n \u201cThe District relied on their bank to protect the security and integrity of its deposits, and First National Bank of Long Island failed. Now, we are asking the Court to hold First National Bank of Long Island accountable for its failure.\u201d<\/em><\/p>\n Meanwhile, First National Bank of Long Island is shifting the blame to Garden City Park Water and Fire. The bank\u2019s attorney,\u00a0Tanweer Ansari, says an internal investigation revealed that the theft happened because \u201cof unauthorized access to banking information within the customer\u2019s control\u201d and that the lender had taken \u201creasonable procedures.\u201d<\/p>\n Authorities have since recouped $4.4 million of the stolen funds, leaving First National Bank of Long Island accountable for $11.1 million.<\/p>\n First National Bank of Long Island merged<\/a> with ConnectOne Bank in September of 2024 and is now operating under the ConnectOne brand. The bank manages about $14 billion in total assets.<\/p>\n Don’t Miss a Beat \u2013 Subscribe<\/a> to get email alerts delivered directly to your inbox <\/span><\/em>  <\/p>\n Generated Image: Midjourney<\/em><\/span><\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":" A New York-based bank is reportedly facing a new lawsuit after thieves allegedly looted $15.5 million from an account that belonged to a public utility firm. Garden City Park Water and Fire is suing\u00a0First National Bank of Long Island for gross negligence amid allegations that the lender acted with \u201creckless disregard\u201d and without the \u201cexercise […]<\/p>\n","protected":false},"author":2,"featured_media":334363,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[173],"tags":[201,248,251,246,257,255,250,252,247,253,249,256,254],"class_list":["post-364573","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-others","tag-blockchain","tag-bsc","tag-chainlink","tag-coin","tag-cryptocurrency","tag-gta","tag-looks-rare","tag-oracle","tag-polygon","tag-quickswap","tag-safe-moon","tag-wallet","tag-wordpress"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/364573","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=364573"}],"version-history":[{"count":3,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/364573\/revisions"}],"predecessor-version":[{"id":364577,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/364573\/revisions\/364577"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/334363"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=364573"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=364573"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=364573"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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