<?php include("inc/top.inc"); ?>

 

Free Membership  
Forum

Join Today
100 % free membership, meet new friends , chat, talk golf or trade recipes.

 

 

Are you into fine art?

For some of the best artists on the internet  
click here

 

CTV.ca News Staff

Mike Fitzpatrick, from Vancouver, British Columbia was another victim of check fraud - and of delayed cheque-clearing by banks.

Like many of us, Fitzpatrick posted his resume online. A supposed British investor, James Moon, offered him work.

All Fitzpatrick had to do was set up a bank account in Vancouver to pay a client of Moon's, in China - and Moon would send Fitzpatrick cheques to cover the amounts.

Fitzpatrick received the checks from Moon, deposited them and waited until his bank told him they were "clear." Then he sent $26,000 to the customer in China. To his horror, Fitzpatrick discovered months later that those cheques were in fact fake and that HE was on the hook for the money.

"To be honest with you I was skeptical about the whole thing right up until the bank notified me that the cheque had cleared because I figured it if wasn't a real cheque then there's no way the bank would have cleared it," Fitzpatrick said.

W-FIVE confronted Mike Fitzpatrick's bank, the Royal Bank, about the lag time banks take to clear cheques.

Jay Stark, the Bank's Vice-President of the fraud department, told W-FIVE that "the customer remains responsible" even if the bank has given the cheque clearance. Stark also said the law allows a bank to come after a customer, up to six years later, for a bad cheque.

Stark promised to take up the issue of cheque clearance with the Canadian Banks Association (CBA) and the Canadian Payment Association (CPA).

However, any improvements to bank cheque-clearing systems will probably come too late for Fitzpatrick who has lost his car, his house and his marriage.

"I was absolutely crushed. First of all, I felt stupid because I had been sucked in by these con men. And then I just panicked, I had no idea what I was going to do, the bank told me I was on the hook for this huge amount of money which obviously I couldn't repay. I just didn't know what to do. I felt helpless," Fitzpatrick said.