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    Bank Error in Your Favor

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    gargram
    If you see a $100 note on street, "finder keeps it" is the general rule. But how about a bank error in your favor? Or unexpected and unexplained banks check of $ 1 million in your post box? You now thinking to go and buy ticket for your dream travel plan? Stop dreaming, there are very strict rules about these windfalls and they aren't in your favor.

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    Attribution Non-Commercial (BY-NC)
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    Bank Error in Your Favor

    Uploaded by

    gargram
    575 views2 pages
    If you see a $100 note on street, "finder keeps it" is the general rule. But how about a bank error in your favor? Or unexpected and unexplained banks check of $ 1 million in your post box? You now thinking to go and buy ticket for your dream travel plan? Stop dreaming, there are very strict rules about these windfalls and they aren't in your favor.

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    If you see a $100 note on street, "finder keeps it" is the general rule. But how about a bank error in your favor? Or unexpected and unexplained banks check of $ 1 million in your post box? You now thinking to go and buy ticket for your dream travel plan? Stop dreaming, there are very strict rules about these windfalls and they aren't in your favor.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    575 views2 pages

    Bank Error in Your Favor

    Uploaded by

    gargram
    If you see a $100 note on street, "finder keeps it" is the general rule. But how about a bank error in your favor? Or unexpected and unexplained banks check of $ 1 million in your post box? You now thinking to go and buy ticket for your dream travel plan? Stop dreaming, there are very strict rules about these windfalls and they aren't in your favor.

    Copyright:

    Attribution Non-Commercial (BY-NC)
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    If your bank makes you

    Operational Risk Insurance Forum rich erroneously, hold your


    By Ram Garg
    breath and control greed
    July 2, 2009
    factor
    If you see a $100 note on street, "finders keepers" is the general rule.
    But how about a bank error in your favor? Or unexpected and
    unexplained banks check of $ 1 million in your post box?

    You now thinking to go and buy ticket for your dream travel plan?

    Stop dreaming ! there are very strict rules about these windfalls and
    they aren't in your favor.

    Unexplained windfalls

    There are four well published real cases.

    1. New-Zealand Westpac case:

    A New-Zealand couple Leo Gao and Kara Young, who ran a BP petrol
    station on the outskirts of the city, could hardly believe their luck when
    they checked their account at Westpac bank on 5 May 2009, hoping to
    find their request for a NZ$10,900 overdraft had been accepted.
    Instead, the bank had deposited 1,000 times that amount NZ$10m. The
    man and his girlfriend reportedly withdrew as much of that money as
    they could, locked the doors of their failing business and fled the
    country with about $2.3 million.

    Both of them are still (2nd Jul 09) on an Interpol wanted listed.

    2. A couple Jailed for Missing $175,000 Bank Mistake

    A Pennsylvania couple’ $1,772.50 deposit to their FNB Bank account


    showed up as $177,250. The couple instead of telling the bank,
    withdrew the money, quit their jobs and moved to Florida.

    The couple considered the money ‘a gift from God’ and gave away
    thousands of dollars, including $25,000 to a Florida church shelter for
    the homeless.

    The two were arraigned on theft and other charges and jailed in lieu of
    $100,000 bail in January 2009.
    Operational Risk Insurance Forum

    3. A clerical error by the state in USA

    Late in March 2007, the state's accounting system was handling money
    for the Department of Human Services which was intended for the
    Hennepin County Medical Center (HCMC), when an errant keystroke
    issued the check worth nearly $2.6 million to Walker instead of the
    hospital. Walker’s account number varied from HCMC's by just one
    number.

    Walker and her boyfriend, Charles Lockhart, went on a spending spree,


    buying several vintage and luxury automobiles, jewelry, retirement
    accounts and a U.S. Treasury bond worth $500,000. She also used
    $100,000 to pay off a student loan.

    The Hennepin County attorney's office charged Walker, with four


    felonies in the case, including theft by swindle and concealing the
    proceeds of a crime.

    4. Commerce Bank and Woodlawn Trustees

    A New York City man, Benjamin Lovell, was mistakenly given access to
    the $5.8 million account under a man with the same name. The bank
    confused the man with the other customer, who has the same name.

    The 48-year-old Lovell said he tried to tell officials at Commerce Bank


    that he did not have a $5 million account. He says he was told by the
    bank that the money was his and he could withdraw the money. Lovell
    blew some of the withdrawn money on jewelry and cash gifts to friends.

    The man was arraigned on grand larceny charges and ordered held on
    $3 million bond or $1 million cash bail.

    So, the next time you


    receive a bank error in your
    favor, go to the bank and
    give the money back. Do
    not spend it and, by all
    means, do not quit your
    job.
    About author: Ram Garg is a risk management and insurance
    professional. He is reachable via e-mail at [email protected]

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