Ken Liem, a California resident, is suing three Asia-based banks, claiming they failed to conduct necessary checks that could have prevented him from being defrauded of nearly $1 million by crypto scammers. The lawsuit, filed in a California district court on December 31, 2024, alleges that Liem was lured into transferring funds under the pretense of cryptocurrency investments. His funds were reportedly deposited into accounts at Fubon Bank Limited, Chong Hing Bank Limited, and DBS Bank Limited, before being transferred to third-party accounts by the fraudsters. The banks are accused of neglecting to perform adequate Know Your Customer (KYC) checks, which would have raised red flags regarding the account holders’ intentions. The suit also claims the banks violated the U.S. Bank Secrecy Act by not properly reporting suspicious activities, as DBS operates a branch in California. Liem is seeking a jury trial along with a minimum of $3 million in damages. The named banks did not respond to requests for comments on the matter.

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