## Zelle Faces Lawsuit from New York Attorney General Over Alleged Fraud
Here’s a breakdown of the recent lawsuit against Zelle:
- The Lawsuit: New York Attorney General Letitia James is suing Early Warning Services (EWS), the operator of Zelle, for allegedly enabling fraud.
- The Allegations: The Attorney General’s office claims Zelle was designed without sufficient safety features, allowing scammers to steal over $1 billion from users between 2017 and 2023.
- Key Issues: The lawsuit alleges that Zelle’s registration process lacked verification steps and that EWS and its partner banks were aware of the fraud but didn’t take adequate action.
- The Demand: James is seeking restitution, damages, and a court order requiring Zelle to implement anti-fraud measures.
- Previous Action: This lawsuit follows a similar one dismissed by the Consumer Financial Protection Bureau (CFPB) in March.
For more details, you can read the original article [here]([insert link to the original article]).
Source: https://www.cnbc.com/2025/08/13/new-york-letitia-james-zelle-lawsuit.html