Chasing the Money: Litigating Wire Transfer Fraud and Asset Recovery

Course Description

Wire transfer fraud can move stolen funds across multiple accounts, financial institutions, and jurisdictions in a matter of hours, leaving victims, banks, and their counsel scrambling to determine what happened, who bears the loss, and whether the money can still be recovered. This program examines the legal framework governing wire transfer fraud disputes, including UCC Article 4A, common-law claims, allocation of loss, and the liability of originating, intermediary, and beneficiary banks. Attendees will explore how to trace, freeze, and recover stolen funds, as well as litigation strategies for pursuing fraudsters and other potential defendants.

Syllabus

1. Understanding common wire fraud schemes, including business email compromise, account takeover, impersonation fraud, and fraudulent payment instructions
2. UCC Article 4A and the allocation of loss among customers, originating banks, intermediary banks, and beneficiary banks
3. Commercially reasonable security procedures, good faith, verification of payment orders, and the impact of customer negligence
4. Immediate response and asset recovery strategies, including wire recalls, account freezes, and law enforcement referrals
5. Claims involving beneficiary banks and the evolving litigation over whether UCC Article 4A displaces negligence, unjust enrichment, conversion, and other common-law theories