Another cup of coffee, and here’s some of what I’m reading: Western Connecticut State University is notifying 235,000 people their records, including social security numbers and other personal information, were insecure on its computers for three years and four months. WCSU said it has found no evidence that records were inappropriately accessed. Read about it…
Search Results for: Patco
Defining Reasonable Security
Tracy Kitten writes: Last month, an appellate court in Boston reversed a lower court’s ruling that favored a bank in a legal dispute over a 2009 account takeover incident (see PATCO ACH Fraud Ruling Reversed.) Was that appellate ruling fair? Based on the security practices that most banking institutions used in 2009, probably not. The case…
Update: Federal appeals court raps U.S. bank over shoddy online security
Jeremy Kirk reports the latest twist in a long-running lawsuit by a construction firm against its bank over fraudulent wire transfers: A U.S. construction company may stand a greater chance of recovering some of the $345,000 it lost in fraudulent wire transfers that it blames on poor online banking practices of its bank. Patco…
(follow-up) ACH Legal Ruling Favors Bank
A decision in the PATCO case mentioned previously here. Tracy Kitten writes: A magistrate has recommended that a U.S. District Court in Maine deny a motion for a jury trial in an ACH fraud case filed by a commercial customer against its former bank. According to the order, which must still be reviewed by the presiding judge,…
ACH Fraud Sparks Another Suit
Linda McGlasson reports: In another round of bank vs. customer, a Maine business has sued its bank, alleging that the institution failed to prevent fraudulent ACH transactions totaling more than $500,000. Patco, a Sanford, Maine-based construction company, had its corporate bank account raided over a six-day period last May by cyber thieves who were able…
Online Banking and “Reasonable Security” Under the Law: Breaking New Ground?
David Navetta writes: With the report of another data security-related lawsuit involving online banking (another 2009 lawsuit referenced here involved an alleged loss of over $500,000), and a recent victory for a plaintiff on a summary judgment motion in a similar online banking data security breach case, the question arises whether online banking breaches will…