India, Aug. 13 -- New York Attorney General Letitia James has filed suit against Early Warning Services, operator of the Zelle payment network, accusing the company of enabling scammers to steal more than $1 billion from users between 2017 and 2023.
Filed in New York State Supreme Court, the complaint alleges EWS knowingly launched Zelle without essential security safeguards, ignored warnings about its susceptibility to fraud, and failed to impose effective anti-fraud protocols on its partner banks.
EWS, jointly owned by major U.S. lenders including JPMorgan Chase, Bank of America, Capital One, and Wells Fargo, allegedly allowed criminals to exploit Zelle's rapid sign-up process, which lacked meaningful identity verification.
This made i...