Those in the business of fighting financial crime might want to take notice of a recent U.S. District Court case in Virginia. The credit union defendant was found liable for fraudulent ACH transactions amounting to $559,000 deposited into their member’s account and then quickly dispersed.
The plaintiff is a construction company that fell victim to ACH fraud initiated by business email compromise. The rerouted destination for the construction company’s vendor payments was to the credit union in this case. An existing member’s new account at the credit union was involved.