JP Morgan Chase Sues Customers Over 'Infinite Money Glitch' ATM Scam

JPMorgan Chase began filing lawsuits against customers this summer who took advantage of an “infinite money problem” — a technical problem with the bank's ATMs that allowed people to deposit fake checks and withdraw money from their accounts.

The trend has shot across social media with TikTok users broadcasting how to deposit fraudulent checks and walk away with huge amounts of cash.

The bank, which is the largest financial institution in the United States, has so far filed four lawsuits — two against individuals and two against businesses. These have been in Los Angeles, Houston and Miami.

“Fraud is a crime that affects everyone and erodes trust in the banking system,” Chase spokesman Drew Pusateri said in a statement. “We are pursuing these cases and actively cooperating with law enforcement to ensure that anyone who commits fraud against Chase and its customers is held accountable.”

In the largest of the four cases filed so far, in the Southern District of Texas, JPMorgan wrote that a “masked man” deposited a fraudulent $335,000 check into a defendant's bank account at an ATM.

The man then allegedly withdrew most of the cash before the bank realized it. The bank said it owed the sum of $290,939.47.

“Chase prides itself on its efforts to protect its customers against fraudsters, especially in an environment where bank and wire fraud is increasingly common,” the bank said in its filing.

“While fraud methods have evolved over time, the basic purpose of exploitation and deception remains unchanged,” it said.