VIENNA, Va.–Navy Federal Credit Union and Wells Fargo are the targets of a lawsuit that alleges both institutions failed to protect an elderly member/customer who was scammed out of more than $3.6 million.
Janine Satterfield, an heir to the estate of Larry Cook, who was 76 when he died, have filed the lawsuit. Cook was a decorated veteran who served with the U.S. Navy as commander for 24 years until 1992. He lived alone and had no children or spouse.
According to USA Today, Satterfield discovered the scam when she needed to find Cook’s Social Security number to bury her uncle. A nearby neighbor she asked to go into his home in Virginia for his documents instead sent photos of international wire transfers he made in amounts as large as $49,500, going mostly to Thailand, USA Today reported.
According to the report, through her uncle’s meticulous records, Satterfield discovered her uncle had become a victim of a scam that started in October 2020 and continued until March 2021. Cook died in April of 2021 after suffering a stroke in 2019.
75 Transfers Made
Now, Satterfield is now suing Wells Fargo and the Navy Federal Credit Union alleging the institutions failed to protect her uncle from being cheated out of $3.6 million, USA Today said, reporting Cook made 75 international transfers to possible scammers abroad, and most of the wires amounted to $49,500 each, according to the complaint filed in Virginia.
In total, he used Wells Fargo once to send $49,500 and Navy Federal Credit Union 74 times to send a total of $3,631,200. According to the wire records, Cook wrote that the purpose of the transfer was for a “loan repayment.”
USA Today reported Navy Federal reported Cook to adult protective services mid-December but “still allowed 42 more international wires to process.”
Satterfield alleges in the complaint that both institutions acted in bad faith by failing to investigate the suspicious wires and is suing both banks for the money Cook lost in the scam – Wells Fargo for $49,500 and Navy Federal Credit Union for $3,633,050, which includes $1,850 worth of wire fees, USA Today said.
Negligence Alleged
In addition, the suit further alleges that Navy FCU was negligent for not stopping the numerous wires and “undertook the duty” to protect him following the voluntary report they made to Fairfax County Adult Protective Services and “should have taken internal steps to stop the wires,” USA Today reported. The suit states Navy FCU continued processing the wires even after APS confirmed with the credit union on Jan. 28, 2021, that Cook needed services and was at risk of being abused, neglected and exploited.
“While APS didn’t stop the wires, they asked the credit union to continue to monitor his accounts,” the suit stated.
How Scam Started
According to the USA Today info report, on Oct. 5, 2020, Cook got an email that said his iPad and PlayStation from Amazon were on the way, and if he had questions, he should call “Order Help-Desk.”
“The sender’s email address didn’t appear to be associated with Amazon, but records show Cook contacted the sender and had received a cancellation form, which gave vague instructions for a refund that involved his bank,” USA Today reported. “The next day, he wired $49,500 to someone in Singapore through his Wells Fargo account. Wire records show that he sent money to different people, at different addresses for the purpose of a ‘loan repayment.’ The complaint doesn’t offer additional details about the scammers.”
The report explained that, fortunately, Cook continued to keep detailed records, which led to the discovery of folders that held documents for the international wires.
“In November 2020, Cook tried a second time to wire money through Wells Fargo but was denied,” USA Today said. “According to the complaint, Wells Fargo didn’t give a reason. But Cook instead wired the money from his Wells Fargo account into his credit union account and sent the money abroad.”
USA Today said on Dec. 15, 2020, a credit union representative reported Cook to Fairfax County Adult Protective Services, saying the transfers were “indicative of possible elder financial exploitation.”
Victim Had Been Warned
The representative reported that Cook had been warned about being a victim of a scam but still wanted to proceed with the transactions and appeared to be “mentally competent.”
The scammers have not been identified.
In a prepared statement to USA Today, Navy Federal said, “Our members are always our first priority and we handle all member transactions with great care.”
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