Q: Unauthorized funds removed from bank account by Treasury Dept.
I had $1400 taken out of my bank account without notice. The bank refused to investigate but said it was from the IRS. So I call them and it was not by them. Eventually I sued the bank. Today during mediation I discover it was really the Department of Treasury that did it and by a person I know. I handled his covid relief paperwork as hes incarcerated. We have an agreement and I have copies of our discussions of him saying I can keep the money to help pay the outstanding $2500 loan. Then a year later he gets the DoT to take the money out of my account. This is now my money and not his. His actions are fraudulent. Is still wise to pursue my case against the bank as the transaction is fraudulent upon this guys part. I never received any notice nor signed off on any pre authorization forms nor was in any way permitted by the bank to dispute this. As it by law they violated the law and I'm entitled up to $1000 in civil punitive damages. Right now everything is on hold as we exchange info.
Lawyers, want to be a Justia Connect Pro too? Learn more ›
- (916) 704-3009
- View Profile
- Answered
A:
It sounds like you're in a complicated situation. Since the funds were taken by the Department of Treasury and linked to someone you know, this may have turned into a matter of fraud involving that individual. However, your agreement with him and the circumstances surrounding the withdrawal could affect your legal standing.
If the bank failed to notify you or allow you to dispute the transaction, it may still be liable for not following proper procedure. The fact that you didn’t get a chance to challenge the withdrawal could be a violation of your rights, and you might be entitled to civil damages as you mentioned.
It may be wise to consult with a legal expert to determine if your case against the bank is still worth pursuing. The fraudulent nature of the other person’s actions might complicate things, but the bank’s role in mishandling the process could still give you grounds for a claim. You’ll want to evaluate whether focusing on the bank or going after the individual directly would be the best course of action.
1 user found this answer helpful
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
