Not upheld: Fraud reimbursement (APP scams) complaint against National Westminster Bank Public Limited Company (NatWest)

Decision detail

Summary

Mr S claimed he lost approximately £275,000 to investment scams (platforms YN and H) between November 2020 and November 2023 by purchasing cryptocurrency and depositing it into these platforms. He requested NatWest refund his losses, arguing the bank failed to protect him from the scams. The ombudsman found that although Mr S provided evidence of interaction with these platforms, the evidence was insufficient to prove that his payments to legitimate crypto providers were forwarded to the scam platforms or to establish the exact loss suffered. Consequently, the complaint was not upheld as NatWest could not be held responsible without proof of quantifiable loss.

The Ombudsman's reasoning

Although Mr S provided evidence of interaction with YN and H, the evidence was limited and did not demonstrate what specific payments were made to either investment platform. The ombudsman could not establish whether payments to legitimate crypto providers were subsequently forwarded to the scam platforms, nor could the exact returns received be verified. Critically, the ombudsman could not quantify any loss suffered, which is a prerequisite for directing a refund. Without proof of loss, NatWest cannot be held responsible.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website