{"id":83040,"date":"2023-01-09T06:45:00","date_gmt":"2023-01-09T06:45:00","guid":{"rendered":"https:\/\/cloudnewshub.com\/archives\/83040"},"modified":"2023-01-09T06:45:00","modified_gmt":"2023-01-09T06:45:00","slug":"jpmorgan-ordered-to-face-lawsuit-over-cyber-attack-on-ray-ban-maker","status":"publish","type":"post","link":"https:\/\/cloudnewshub.com\/?p=83040","title":{"rendered":"JPMorgan ordered to face lawsuit over cyber attack on Ray-Ban maker"},"content":{"rendered":"
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JPMorgan will face a lawsuit over whether it ignored the warning signs of a cyber attack on manufacturer Essilor, which saw $272m taken by criminals.<\/p>\n

Essilor, which manufactures Ray-Ban sunglasses, sued JPMorgan in April, alleging that the bank failed to notify it of suspicious activity in its New York bank account.<\/p>\n

The French manufacturer can now try to prove that a law in New York in relation to commercial contracts was violated.<\/p>\n

In papers filed at a federal court in Manhattan in April<\/a>, the manufacturer said there was a huge increase in the volume of money transacted, as well as money being sent to shell companies in countries seen as high risk.<\/p>\n

\u201cThe fraudulent transfers were all made in round dollar amounts (i.e., no cents), which was a dramatic departure from prior periods where round dollar transfers were relatively infrequent,\u201d Essilor said at the time.<\/p>\n

The judge rejected a claim by JPMorgan that Essilor had authorised the transfers because the bank had received two approvals for each, therefore following the required security procedures. A breach of contract claim was rejected, but the judge said Essilor can try to revive it.<\/p>\n

Banks are also under the spotlight as a result of failures to spot suspicious activity on their networks. For example, banks have received huge fines from regulators for failing to identify and prevent money laundering by criminals.<\/p>\n

According to research published last year by business-to-business information services company Kyckr, 28 financial institutions across the globe were fined for AML-related violations in 2020, equating to roughly \u00a32.6bn.<\/p>\n

The UK has the second-highest amount of money laundered globally<\/a>, with an estimated \u00a388bn cleaned by criminals each year.<\/p>\n

JP Morgan is one of the world\u2019s biggest banks, with a huge IT budget. Speaking at a recent event, Ziv Gafni, who is head of digital strategy, fintech and markets innovation at JP Morgan, said the bank invests around $12bn a year<\/a> in technology.<\/p>\n

A large proportion of any IT spend in banks goes on security, but criminals still find their way around defences.<\/p>\n","protected":false},"excerpt":{"rendered":"

JPMorgan will face a lawsuit over whether it ignored the warning signs of a cyber attack on manufacturer Essilor, which saw $272m taken by criminals. Essilor, which manufactures Ray-Ban sunglasses, sued JPMorgan in April, alleging that the bank failed to notify it of suspicious activity in its New York bank account. The French manufacturer can […]<\/p>\n","protected":false},"author":1,"featured_media":83041,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[533],"tags":[],"class_list":["post-83040","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-it"],"_links":{"self":[{"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=\/wp\/v2\/posts\/83040","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=83040"}],"version-history":[{"count":0,"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=\/wp\/v2\/posts\/83040\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=\/wp\/v2\/media\/83041"}],"wp:attachment":[{"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=83040"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=83040"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cloudnewshub.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=83040"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}