A California resident is suing three Asia-based banks, alleging they failed to perform basic checks, causing him to lose nearly $1 million in a crypto scam.
According to the complaint filed on December 31, 2024, Ken Liem's attorney said his client was contacted about cryptocurrency investment opportunities through LinkedIn in June 2023 and was persuaded to transfer funds to the scammers.
The funds were deposited into three Asian banks and eventually transferred to third-party accounts. The lawyers allege that the banks failed to perform compliance checks such as KYC and anti-money laundering, failed to identify fraudulent activities, and allowed the fraudsters to open accounts and carry out fraud.