Romance Crypto Scam Victim Sues Citibank for $4 Million Over Alleged Negligence
A victim of a romantic cryptocurrency scam has filed a lawsuit against Citibank in the New York District Court, accusing the bank of gross negligence that led to personal losses totaling $4 million.According to the complaint, Citibank failed to act on a series of suspicious transactions, including large wire transfers to crypto scam-related accounts. The plaintiff alleges that the bank lacked adequate monitoring mechanisms for transactions involving digital asset purchases, which allowed fraudsters to freely move large amounts of money through crypto trading platforms.
The scam reportedly began in 2023, when fraudsters built a relationship of trust with the victim — a typical hallmark of romance scams. Despite unusual and atypical activity, Citibank allegedly took no preventive or investigative action.
The plaintiff argues that Citibank’s inaction could be seen as negligence or even aiding fraud, and is seeking full restitution of the lost $4 million through court proceedings.
The case echoes warnings from the Canadian Anti-Fraud Centre (CAFC) and the Canadian Investment Regulatory Organization (CIRO) about the rise of so-called "pig butchering" scams. In such schemes, scammers emotionally manipulate victims over time, building trust before convincing them to invest large sums into fake crypto projects or to purchase worthless tokens.
