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Business Counter-Sues Bank in Fraud Dispute

Posted on February 18, 2010 by Dissent

Linda McGlasson reports:

The Texas machinery company that was sued by its bank after a data breach has filed a countersuit against the institution, saying it “won’t be bullied.”

The case pits Plano, TX-based Hillary Machinery, Inc. against PlainsCapital Bank, a $4.4 billion institution headquartered in Dallas. Hillary was defrauded by cyber thieves who made ACH transactions in excess of $800,000 in November 2009. The bank was able to get back some of the money for the company. But when Hillary demanded to be compensated for more than $220,000 that wasn’t recovered, PlainsCapital Bank filed a federal lawsuit against Hillary, asking the court to declare its security measures ‘commercially reasonable.’

Read more on BankInfoSecurity.

Category: Breach IncidentsFinancial SectorHackOf NoteU.S.

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