On Thursday, October 23, 2025, Lawrence Liu and Ling-Ling Liu filed a first amended complaint in the US District Court for the Northern District of California against Bank of America, N.A., alleging financial elder abuse, unfair business practices, and seeking a refund of unauthorized payments due to economic duress. The Lius, an 84-year-old man and a 76-year-old woman, claim they lost $18.5 million in life savings due to the bank’s negligence in preventing elder financial exploitation.
The complaint states that in July 2024, the Lius were targeted by fraudsters who, through psychological manipulation and fake government documents, convinced Mr. Liu to transfer his assets, first from Charles Schwab to Bank of America, and then to a cryptocurrency exchange account (Unchained Trading, LLC) controlled by the fraudsters. The funds were subsequently absconded.
The Lius assert that Mr. Liu was under severe economic duress, rendering him unable to exercise independent judgment. They argue that the wire transfer instructions were not voluntary acts but the product of unlawful coercion, making the payment orders unauthorized and voidable under California law.
The complaint highlights that elder financial exploitation is a growing national crisis, costing Americans billions annually. The Lius contend that financial institutions, like Bank of America, serve as critical gatekeepers in preventing these crimes, but often prioritize profits over their legal and moral obligations to protect vulnerable elder customers.
The Lius allege that Bank of America had knowledge, tools, and legal obligations to stop the fraud. They point out that a Bank of America branch in Walnut, California, recognized the fraud on August 1, 2024, and refused to process a $700,000 wire transfer. However, the bank failed to flag the suspicious activity, allowing Mr. Liu to request and have the same transfer authorized at a different branch in Diamond Bar, California, the next day. This was the first of seven increasingly large transfers approved over the following six weeks.
The complaint states that Bank of America lacked commercially reasonable security procedures, despite knowing the Lius were elderly, had never sent a wire transfer before, millions of dollars were suddenly flooding their account, one branch had already determined Mr. Liu was a fraud victim, and Mr. Liu was making increasingly large transfers to a cryptocurrency exchange. Instead of heightened scrutiny, the Lius were upgraded to “Diamond” status to profit from the increased account activity.
The Lius seek a refund of the unauthorized payment orders, compensatory and punitive damages, and equitable relief.
The complaint references a similar case, Rootenberg v. Charles Schwab & Co., Inc., highlighting the pervasive problem of financial institutions failing to protect elders. It also cites various advisories and guidelines from government agencies, including FinCEN, the Department of Justice, and the Consumer Financial Protection Bureau, outlining the red flags of elder financial exploitation and the obligations of financial institutions to detect and prevent it.
The complaint also refers to a December 2024 Office of the Comptroller of the Currency (OCC) Consent Order against Bank of America, acknowledging the bank’s failure to comply with the Bank Secrecy Act (BSA) and implementing regulations. The OCC’s findings point to deficiencies in internal controls, BSA officer oversight, independent testing, and training components of the bank’s BSA compliance program.
Full Article & Source:
Amended Filing: Elderly Couple Alleges Bank of America Enabled $18.5M Fraud
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