Nonprofit Resources

Companies Sued After Clients Lose Life Savings in a Wire Fraud Scam

When James and Candace Butcher were making a down payment on a new house, they followed the wire transfer instructions emailed by their title company.

What they didn’t know, however, was that the title company had been hacked — and the Colorado couple lost more than $272,000 in an apparent spear phishing scam.

Now the couple is suing Well Fargo Bank, their relator, and the title, mortgage, and realty companies involved, alleging that they did not do enough to protect sensitive financial information.

While this particular situation involves a large bank, nonprofits of all sizes are not immune. What would happen if your organization was hacked? And what would happen if you were sued for not adequately protecting donor or employee information?

If you are concerned about your organization’s cybersecurity or have questions, we can help. CapinTech, a CapinCrouse company, offers expert cybersecurity services to help your organization assess and reduce your cybersecurity risk.

You can read more about the wire fraud and lawsuit here: Homebuyers lose life savings during wire fraud transaction, sue Wells Fargo, realtor & title company

 

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