Oct. 29 (UPI) — The banking giant JPMorgan Chase began suing U.S. customers who allegedly stole large sums of money after a viral video brought attention to a technical ATM glitch over the summer.
The bank, as of Monday had filed at least four complaints in at least three federal courts alleging users sought to exploit a so-called “infinite money glitch” that went viral on TikTok and other social media platforms by depositing up to hundreds of thousands of dollars in fake checks and withdrawing the funds before the checks bounced.
JPMorgan said in September that it had closed the loophole that made the funds available shortly after the funds were deposited, while most banks allow customers to only withdraw a fraction of a check’s value until it clears, usually several days after being deposited.
“Fraud is a crime that impacts everyone and undermines trust in the banking system,” JP Morgan spokesman Drew Pusateri said in a statement to media. “We’re pursuing these cases and actively cooperating with law enforcement to make sure if someone is committing fraud against Chanse and its customers they’re held accountable.”
Charges were filed in Houston, Miami and Los Angeles against two individuals and two businesses.
The lawsuit did not specifically mention the viral trend but instances described in court documents lined up with the process described in the videos.
The documents described one instance in Houston in which a man owes the banking institution more than $290,000 after a masked unidentified accomplice had deposited a counterfeit check for $335,000 at an ATM.
“On Aug. 29, 2024, a masked man deposited a check in Defendant’s Chase bank account in the amount of $335,000,” the bank said in the Texas filing. “After the check was deposited, Defendant began withdrawing the vast majority of the ill-gotten funds.”
According to court documents, JP Morgan is seeking not only the return of stolen money with interest and overdraft fees attached, but fees for lawyers and in some cases other damages. They are prioritizing higher dollar amount cases and those with possible criminal ties.
It was noted that the related civil and criminal cases are separate but that JPMorgan has referred cases to other law enforcement agencies.
