Not upheld: scam - failure to intervene and prevent fraud complaint against Metro Bank PLC

Decision detail

Summary

Miss C lost over £26,000 to a sophisticated cryptocurrency investment scam operated by a fraudulent trading firm between September and November 2024. She made approximately 11 payments from her Metro account to a crypto exchange, which were then converted and sent to the scammers. The ombudsman found that Metro should have intervened on a £6,000 payment in November 2024 but determined that such intervention would not have likely stopped the scam, as Miss C was deliberately splitting payments to avoid detection, distrusted financial institutions, and had built trust with the scammers. The complaint was not upheld.

The Ombudsman's reasoning

While Metro should have intervened on the £6,000 payment on 6 November 2024 by asking questions and providing warnings, the ombudsman found that such intervention would not have likely stopped the scam. Miss C was deliberately concealing her activities from financial institutions, had built trust with the scammer, and was convinced of the legitimacy of the scheme. Even with appropriate questioning, Miss C would not have been forthcoming about her activities, and any warning would not have overcome her belief in the fraudulent firm.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website