Two billion-dollar banks are facing a lawsuit for allegedly failing to stop a huge transfer fueled by artificial intelligence.

Texas resident Gary Cunningham is suing PlainsCapital Bank and Pathward N.A. after $20,000 was fraudulently transferred from his account, reports Fox 26.

The fraud happened after criminals hacked Cunningham’s email and used AI to clone his voice and convince his accountant to transfer $20,000 to a Pathward Financial account instead of the usual Chase account.

At the time, his accountant was being deceived, Cunningham was traveling.

The 76-year-old, who is representing himself in court, says the institutions should have better protections against AI-initiated fraud.

I believe I have enough information here to force the banks to do something different because they were negligent – grossly negligent.

“[The accountant] was convinced it was me talking to her – but I didn’t – I was on a plane to Chicago. There’s no way that was me.”

While Cunningham is not a trained lawyer, he tells Fox 26 he learned the court process from his late wife and was also guided by a couple of friends who are lawyers.

The lawsuit comes at a time when financial fraud against elderly Americans is on the rise. Annually, elderly Americans are losing over $3 billion per year to fraud, according to the FBI.

 

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: Midjourney

The post US Banks Sued After Artificial Intelligence Sparks $20,000 Fraudulent Transfer: Report appeared first on The Daily Hodl.

Two billion-dollar banks are facing a lawsuit for allegedly failing to stop a huge transfer fueled by artificial intelligence.

Texas resident Gary Cunningham is suing PlainsCapital Bank and Pathward N.A. after $20,000 was fraudulently transferred from his account, reports Fox 26.

The fraud happened after criminals hacked Cunningham’s email and used AI to clone his voice and convince his accountant to transfer $20,000 to a Pathward Financial account instead of the usual Chase account.

At the time, his accountant was being deceived, Cunningham was traveling.

The 76-year-old, who is representing himself in court, says the institutions should have better protections against AI-initiated fraud.

I believe I have enough information here to force the banks to do something different because they were negligent – grossly negligent.

“[The accountant] was convinced it was me talking to her – but I didn’t – I was on a plane to Chicago. There’s no way that was me.”

While Cunningham is not a trained lawyer, he tells Fox 26 he learned the court process from his late wife and was also guided by a couple of friends who are lawyers.

The lawsuit comes at a time when financial fraud against elderly Americans is on the rise. Annually, elderly Americans are losing over $3 billion per year to fraud, according to the FBI.

 

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: Midjourney

The post US Banks Sued After Artificial Intelligence Sparks $20,000 Fraudulent Transfer: Report appeared first on The Daily Hodl.