TD Bank cooperates with authorities as data theft case reveals wider $500k fraud investigation
Daria Sewell, a former employee in Toronto-Dominion Bank's anti-money-laundering department, has been charged with stealing and distributing customer information, as reported by BNN Bloomberg.
Sewell, aged 32, was employed by TD Bank from 2023 until May 2024, a role that gave her access to sensitive customer data.
Prosecutors revealed that images of 255 customer checks and personal details of nearly 70 others, including names, addresses, and social security numbers, were found on Sewell's phone.
Prosecutors stated that Sewell distributed the stolen data on Telegram, instructing others to open accounts, deposit the checks, and share the proceeds.
This case forms part of a larger investigation into a check-fraud scheme that allegedly stole almost $500,000, implicating five other individuals alongside Sewell.
Sewell faces a felony charge of unlawful possession of personal information, which could result in up to four years in prison if convicted.
TD Bank responded to the allegations with a statement indicating that Sewell was “terminated and we have cooperated fully with authorities in the matter.” Her lawyer, Lawrence Fisher, declined to comment on the case.
This investigation comes on the heels of TD Bank’s recent settlement with US authorities. Manhattan District Attorney Alvin Bragg announced the charges.
Last month, the bank agreed to pay nearly $3.1bn in fines and penalties and to accept a cap on its US retail banking assets. This settlement followed the bank’s guilty plea to US charges of failing to prevent money laundering by criminal organizations, including drug cartels.
The US Justice Department determined that TD Bank did not adequately address suspicious activities over a decade, violating the Bank Secrecy Act, the primary anti-money-laundering regulation.
This case marks the first instance of a bank pleading guilty in the US to conspiracy to commit money laundering, as stated by Attorney General Merrick Garland.
