Crypto Scam Victim Ropes 2 More Banks Into $20M Fraud Suit
Summary
Michael Zidell filed a second lawsuit against East West Bank and Cathay Bank, alleging negligence and complicity in a crypto romance scam. Zidell claims he transferred nearly $7 million to East West Bank and over $9.7 million to Cathay Bank, believing he was investing in non-fungible tokens based on advice from a woman he met on Facebook. He previously sued Citibank for ignoring red flags in $4 million worth of transfers. Zidell asserts that the banks failed to monitor suspicious transactions and argues they aided fraud by allowing the scammers to use their services. The lawsuit also accuses the banks of aiding and abetting elder abuse, seeking compensatory damages and legal costs.
