The New York attorney general sued the third-largest bank in the United States over its alleged failure to protect consumers from scammers and its refusal to make victims whole after online thieves have plundered their life savings.
Manhattan-based Citibank, state prosecutors charged in federal court, “has overpromised and underdelivered on security.” In a complaint that could easily lead to millions in civil penalties and restitution, New York attorneys accuse Citi of sidestepping consumer protection law meant to incentivize banks into providing more robust security by limiting consumer losses caused by fraudulent wire transfers.
