PESCU Wins Appeal Against B.J.’s, Fifth Third
PHILADELPHIA–Pennsylvania State Employees CU won a huge victory after a U.S. appellate court sided with the CU in a fight with B.J.’s Wholesale and Fifth Third Bank, ruling that the wholesaler and the bank breached a contract with Visa resulting in damages to the $2.3-billion CU.
PSECU has been trying to recoup losses it suffered by closing accounts and reissuing cards after B.J.’s, and its processor Fifth Third failed to delete data from card transactions, exposing accounts to fraud when that data was compromised by hackers.
Bethpage FCU Kiting Scheme Nets $100,000
BETHPAGE, N.Y.–A check-kiting scam involving Bethpage FCU netted two women more than $100,000 after they deposited numerous bad checks then withdrew money before the checks bounced, according to police.
The two women used false information to open checking and savings accounts at the credit union, and at other banks, police said.
The aim of opening the bank accounts was to “kite” checks, depositing checks and withdrawing funds from one account to another without any funds being in any of the accounts.
Charia Bradshaw, 22, of Brooklyn, is charged with forgery and fraud, while Brittany Stevens, 21, of Jamaica, was charged with forgery, fraud and grand larceny.(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com http://www.sourcemedia.com
