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Western Union to Reimburse $586M to Scam Victims, 3000 More Compensated

Western Union finally makes amends for aiding scams. Thousands more victims to receive their money back.

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In this picture there is a bottle of cool drink and RISK word is written at the top of the bottle...
In this picture there is a bottle of cool drink and RISK word is written at the top of the bottle and a posture of the man who is wearing a red shirt and a hat on the bottle.

Western Union to Reimburse $586M to Scam Victims, 3000 More Compensated

Western Union has agreed to forfeit a substantial sum of $586 million to fully reimburse victims of various scams, including the grandparent scam, lottery or sweepstakes scams, and romance scams. The company acknowledged its role in aiding and abetting these schemes, with certain employees being complicit.

The Justice Department has announced that the second distribution of the second phase of the Western Union Remission will compensate an additional 3000 international victims from a further $18.5 million. This phase, opened in March 2022, allows victims who missed the first opportunity to file petitions to now receive their money back.

US Attorney Gerard M. Karam for the Middle District of Pennsylvania stated that Western Union allowed fraudsters to exploit vulnerable people and that the DoJ is committed to ensuring proper compensation for the harm suffered by victims. Since the remission fund began, over $420 million has been distributed to more than 175,000 victims, with the first distribution of the second phase in 2023 alone reimbursing over 25,000 victims. The DoJ anticipates further distributions in the coming months due to the scale of the fraud.

Western Union's 2017 deferred prosecution agreement acknowledged responsibility for various criminal acts, including violations of the Bank Secrecy Act and aiding and abetting wire fraud. The company's commitment to fully reimburse victims is a significant step towards rectifying the harm caused by these schemes. The Justice Department continues to work towards ensuring that all eligible victims receive their rightful compensation.

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