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Unauthorized withdrawals may result in a bank fraud charge

On Behalf of | Apr 9, 2021 | bank fraud | 0 comments

An unauthorized transaction involving a financial institution may lead to allegations of a serious felony offense. The Federal Deposit Insurance Corporation protects the funds deposited in an account. As noted on the FDIC’s website, an individual found withdrawing money without permission may face a fraud charge.

Whether through a mobile device, ATM or computer terminal, a bank may suspect an unauthorized transfer occurred and provide investigators with the transaction information. Surveillance camera footage and receipts indicating where an individual deposited or spent the funds may serve as evidence for prosecutors.

A prosecutor may compile evidence

If a prosecutor has enough evidence regarding a transaction’s history to charge an individual with bank fraud, the accused individual may have options to defend against the charges or reduce the penalties. As the FDIC also notes, a fraud conviction involving a financial institution may result in a heavy fine and up to 30 years in prison.

A sentence may also include probation, restitution and community service. By working with the court, an individual may enter a plea, which could result in a sentence requiring substantially less incarceration. A defendant may need, however, to admit that he or she carried out the offense charged by a prosecutor.

An admission may reduce a sentence

A 41-year-old Texas resident and former bank manager found herself facing a lengthy prison sentence over unauthorized withdrawals. While serving as a bank employee, she allegedly withdrew more than $100,000 with debit general ledger tickets prosecutors claimed were fraudulent. By admitting that she withdrew the funds without permission, a judge sentenced her to 15 months of incarceration and two years of probation, as reported by the Laredo Morning Times.

Because of strict banking regulations, individuals may need to submit proof of authorization with each transaction. Mistakes may occur, and an individual has a right to a defense when charged.