83-Year-Old Woman Files Lawsuit Against JPMorgan Chase Bank Claiming Unauthorized Crypto Transactions Emptied Her Savings

News | April 26, 2024 By:

On Monday, April 15, 2024, Carol R Coates filed a lawsuit against JPMorgan Chase Bank alleging hundreds of thousands of dollars were stolen from her accounts through unauthorized cryptocurrency transactions.

According to the complaint filed in the United States District Court for Arizona, Coates is an 83-year-old widow who had maintained checking and savings accounts with Chase Bank for many years. In early August 2022, she held a total of around $279,000 in the two accounts.

The complaint then describes how over the course of three months beginning in August, hundreds of thousands of dollars were drained from Coates’ accounts through a series of unauthorized electronic transfers and transactions. The funds were allegedly sent to cryptocurrency exchanges and entities in increments ranging from $5,000 to $10,000 nearly every day.

By November 8th, 2022 the lawsuit states that virtually all of the approximately $279,000 had been withdrawn without Coates’ knowledge or consent. Some of the money was also allegedly transferred from Coates’ Chase accounts to her brokerage account with Charles Schwab, only to then be sold and electronically moved back to Chase to be laundered through additional crypto exchanges.

Coates claims she did not discover the emptied accounts until bringing it to the attention of Chase Bank in February 2023. She suffered serious health issues requiring hospitalization in 2021 according to the filing, possibly providing a window of opportunity for the reported fraudulent activity.

The lawsuit filed against Chase accuses the bank of multiple breaches of its deposit agreements with Coates. This includes failing to prevent fraudulent transactions, send monthly paper or electronic statements, and rectify the errors within the timelines specified in the agreements.

Additionally, the complaint alleges Chase violated the federal Electronic Fund Transfer Act, which governs the protection of consumer accounts from unauthorized electronic funds transfers. It cites the lack of statements and timeframe for Coates to report the transfers as grounds for Chase’s liability under the EFTA.

Coates is seeking $407,000 in damages from Chase, comprised of the missing funds plus accrued interest. She also requests reimbursement of attorney fees incurred in filing the case.

Please contact BlockTribune for access to a copy of this filing.