Bank Urges Dismissal of Reinsurer’s $4.5 Million Fraudulent Wire Transfer Lawsuit

ORLANDO, Fla. — Truist Bank is urging a Florida federal judge to dismiss an action accusing it of negligently allowing $4.5 million in reinsurance proceeds to be fraudulently transferred to a scammer, arguing that the reinsurer, as the originator of the payment order, has no direct cause of action against the bank.

In a Jan. 14 reply filed before Judge Anne Conway of the U.S. District Court for the Middle District of Florida, Truist argues that Article 4A of the Uniform Commercial Code does not provide the originator of a payment order with a direct cause of action against a …