New York state Attorney General Letitia James is suing Early Warning Services, the company behind the electronic payment platform Zelle after she says it failed to protect users from widespread fraud.

An investigation found that scammers stole more than $1 billion between 2017 and 2023 because Zelle lacked basic safety features.

The lawsuit claims the company — owned by a group of the largest banks in the United States including JPMorgan Chase, Bank of America, Capital One, and Wells Fargo — knew the platform was vulnerable but did nothing to enforce anti-fraud safeguards.

James is seeking restitution for affected New Yorkers and a court order requiring stronger protections.

“No one should be left to fend for themselves after falling victim to a scam,” James said in a statement. “I loo

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