Consumer complaint received 2018-07-09
Product: Money transfer, virtual currency, or money service — Domestic (US) money transfer
Issue: Other transaction problem — 
Company: CITIBANK, N.A. (NJ)

Date XX/XX/XXXX Complaint against XXXX and Citibank Home Depot credit card giving invalid confirmation numbers for unauthorized External Wire Transfers and XXXX XXXX for not verifying accounts were in my name : I have learned this type of fraud has been going thru since XXXX, how is it possible that banks cant identify these scams from there inceptions. 

I am a victim of banking fraud through unauthorized wire transfers by scammers who posing as potential employers beginning XX/XX/XXXX. The scammers used stolen identities via other people 's banking accounts to pay me for goods totaling {$52000.00}. These purchases of which {$33000.00} was through XXXX and the other amounts of {$18000.00} was through a Citibank Home Depot credit card. 

I was told by the scammers the accounts were in my name through a company business account setup to pay for goods they were paying me to buy. I believed that the payments given by the scammers were valid after testing the first {$1000.00} in XXXX. I proceeded to make more purchases with the information to wire transfer payments from company account to my account through accounts given. 

Based on the confirmation authorization numbers XXXX Bank and Citibank gave me for every payment transfer transaction it confirmed that the business account was valid since I was told this was a company business subaccount in my name. The XXXX bank contacted me by XX/XX/XXXX ; well past 30 days, after the stolen payments paid to me for the goods began returning as unauthorized transfers as of this time XXXX had authorized {$26000.00} and Citibank {$18000.00}. By the beginning of XXXX after purchases of goods were completed and all invoices paid off. Except the last purchase for {$7900.00} which would have marked the end of my so-called probation time with the scammers the total purchases was {$51000.00}. The company was to let me know if they would hire me, it was at this time payments the banks confirmed valid began returning as unauthorized. The timing of these payments returning makes me believe that the owners of the stolen banking information may be involved in the scam. 


In XXXX, XXXX after sending many resumes looking for work, a person name XXXX XXXX contacted me who I believed to be a legitimate employer this individual claimed to be a recruiter for the company. I filled out an application to be possibly employed after what they called a probationary time. They claimed an evaluation for employment with them would be completed after they see how well I could purchase and ship goods based on their specifications. They said they would pay for my purchases and shipping cost which they did via External Wire Transfers of funds. 

They asked me to fill out an application for information that a legitimate employer would and I being skeptical did an online search of the company on link they provided with the responses showing the company to be at least at the time a valid entity on the XXXX XXXX XXXX XXXX # XXXX. This however turned out to be false and a fraudulent company which I found out after payment funds returned and I purchased and shipped the goods. They reimbursed me for all my expenditures from what I have learned were another persons stolen bank account funds. 

The problem with all these transactions lies with three banks, whose job it was to flag the fraudulent transactions before they ever approached paying my account. Because the banks began paying, it aided the scammers to increase purchases to a current total of {$52000.00} which has overdrawn my credit limits. 

By the end of XXXX all fraudulent payments had been returned unauthorized. Failure by these banks XXXX, Citibank and XXXX XXXX XXXX the bank where all the accounts were stolen from by the scammers ) began when they allowed many supposed external wire transactions accounts funds purportedly in my name as claimed set-up by the phony import/export company, into my personal account. One bank explained to me that they pay on the bases of blind trust that the payment may not be fraudulent. They didnt verify who the account belonged too before giving a confirmation number and transferring the funds to my account. 

Therefore after my first {$1000.00} that XXXX XXXX sent me for payment with a confirmation number XXXX and Citibank confirmation number XXXX ; here lay the first problem because, I believed they verified the account holder name was a business account authorized with my name. The bank confirmation meant to me that it was a valid account and I proceeded to make more purchases because it indicated that the scammers unauthorized bank transactions were valid. 

The phony import/export job I was trying to get hired for, as I have learned had some XXXX XXXX XXXX man, from Florida, and a dental office as the actual stolen bank accounts holders for XXXX XXXX   phony company transfers. I was told it was a dental office that alerted the bank, a month later that banking information had been stolen. 

If this were the actual case, then when XXXX XXXX and Citibank, contacted XXXX XXXX about external wire transfer funds from ; a supposed account set-up in my name by phony company, the account should have been automatically flagged as a suspicious transaction, with both parties, I and account holder being notified. 
XXXX and Citibank have paid my account on as stated by Citibank on XXXX trust before verifying, had they did their due diligence to verify the persons name ( s ) on the external wire transfer account they would have seen the very glaring problem that the account number and names do not match up and stopped this scam immediately from progressing. 

If these banks are willing to take these types of risks with my accounts then I the XXXX consumer should not have to bail them out and pay. The problem is the bank only wants to focus on the purchases ; I made only because of their confirmations, and not consider the stolen bank accounts that they gave bogus confirmation as valid, which then allowed bogus payments to overdraw my account this cant be ignored. 

Bottom line is banks should have put a hold on the transactions until they could be verified. 

XXXX XXXX XXXX told me they were investigating, however ; nothing was done and instead he waited for all phony payments to be returned then told me I have to pay the bank. XXXX XXXX has locked me out of my saving stating they are allowed to take all my funds to pay in addition they have began billing me for the fraudulent funds that have overdrawn my VISA account also sending me past due notices that payment is due on XX/XX/XXXX. Therefore I have no access to my account however they are telling me to pay. I had to borrow from my IRA and pay penalties for early withdrawal to have funds to pay for my living expenses. 

Status of accounts : XXXX XXXX : XXXX XXXX told me to pay all the funds, he began billing me for the funds sending notices that payments are past due, plus has locked my saving account stating he will remove my saving for payment. Hung up the phone when I told him its not my fault they allowed my account to be paid with stolen money. 
Citibank XXXX XXXX : XXXX XXXX # XXXX ( refuse to give last name only a number ) Hung up. 
Citibank XXXX XXXX : XXXX XXXX # TMY ( refuse to give last name only a number ) said they will freeze my account and begin an investigation. 

XXXX XXXX : Has returned all external transferred phony payments after XXXX to XXXX and Citibank as unauthorized. 
A typical personal check takes about 3 days to verify, shouldnt money transfers be a point to point transfer bearing the names of all parties involved. 
The question is how is it they all failed to flag these transactions as phony from the start if my name was not on the account I was transferring from as verification to XXXX XXXX. It was only until the account owner notified the bank that they determined accounts were stolen. 

I believed how external wire transfers work is they ( the Bank ) verifies both parties sender and receiver before confirmation of payment. Based on what happened this was not done with my case and as a result my credit balance is overdrawn, my credit cards are frozen and my life saving account I was told will all be taken by XXXX. 

I should not be responsible and my credit history ruined if these banks allowed these types of transactions and did not provide warnings/alerts and true/real account confirmation verifications for my and their clients protection. 

Because these banks confirmed unauthorized transactions as valid these scammers were aided and allowed to continue. I am therefore requesting that my credit history status be restored at all credit agencies, all overdrawn balances and fees be removed from my account at XXXX to date total {$34000.00} and Citibank {$18000.00}. Lastly my saving account balances be restored at XXXX   bank. 

I am very concerned that my credit will be destroyed because these banks allowed these fraudulent money transfers and seem to be doing nothing relevant to prevent it. 
In reality I received stolen money VIA wire transferring as payment to pay for purchased goods, shipping fees and other expenditures, its my account thats overdrawn- only banks have the job of verifying accounts- Im the victim because the bank didnt verify that the account information were stolen. 

Im therefore seeking help to restore my accounts and credit history since I believe these banks may have broken with banking rules/federal procedures for money transfers to the tune of $ XXXX. 

Attached : Spreadsheets detailing banking and shipping confirmation numbers Payment confirmation numbers given by XXXX and Citibank XXXX XXXX Email of scammer giving stolen accounts to pay me for my purchases XXXXXXXX VISA # is XXXX including accounts under # XXXX, Phone XXXX XXXX XXXX Citibank Home Depot VISA # is XXXX XXXX XXXX XXXX XXXX Bank XXXX affected account numbers are listed on above spreadsheets. 

XXXX Police Report # XXXX Phone # XXXX XXXX XXXX Scammers info given : " Export Handels XXXX XXXX '' XXXX XXXX XXXX XXXX and XXXX XXXX Toll Free # for calls form United States : XXXX Head office # in XXXX , HR Dept. : XXXX EIN # : XXXX EXPORT HANDELS XXXX XXXX XXXX XXXX XXXX XXXX Floor XXXX New York XXXX, New York Email : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Phone numbers they used to contact me : XXXX ( XXXX ) XXXX XXXX XXXX ( XXXX ) XXXX XXXX Company business registration info on attached PDF : Trade number HRB XXXX https : XXXX? XXXX & XXXX My job application form website : XXXX XXXX XXXX