Scam Text Message New York Financial Fraud Investigation

The fraudulent “loan representative” instructed the client to open a new bank account and provide full access information. 

These details included:

• Account number

• PIN and online banking credentials

• One time verification codes
 

Believing the process was standard loan protocol, the client complied. 

Only days later, the bank issued a notice that the account was frozen due to suspicious activity, revealing that the scam text message had been the entry point into a larger scheme.

Soon after, investigators contacted the client and explained that the newly created account was used to receive funds from unrelated victims. 

In New York, such involvement can trigger suspicion under fraud related statutes, especially when the account is used as part of a broader scheme. 

The case now required a defense that could clearly prove the client’s lack of criminal intent.

The following provisions were central to the investigation: 

• NY Penal Law §190.65 – Scheme to Defraud in the First Degree
Applies when a person engages in a systematic, ongoing fraudulent scheme involving multiple victims, such as obtaining property from ten or more persons or causing losses exceeding one thousand dollars.

• NY Penal Law §190.79 – Identity Theft in the Second Degree
Applies when a person knowingly uses another individual’s identifying information, including banking or financial credentials, to obtain goods, services, or property exceeding five hundred dollars or to commit or facilitate a felony.

• NY Penal Law §470.15 – Money Laundering in the Second Degree
Applies when a person knowingly conducts financial transactions involving criminal proceeds exceeding specified statutory thresholds with the intent to conceal, disguise, or promote criminal conduct.

• NY Penal Law §20.00 – Criminal Liability for Conduct of Another
Allows a person to be held liable for another’s criminal conduct if, acting with the mental state required for the offense, the person solicits, requests, commands, importunes, or intentionally aids in the commission of the crime.

These laws formed the backbone of the investigation. 

Even though the client did not intend to participate in crime, the scam text message created circumstances that made the client’s involvement appear complicit.

To pursue charges, prosecutors must prove that the client knowingly allowed the account to be used in a fraudulent manner. 

Since the scam text message had misled the client into believing the steps were part of a loan process, establishing intent became difficult. 

Demonstrating this lack of awareness became the core of the defense strategy.

The defense team gathered evidence demonstrating: 

• The client had no prior experience with loan scams.

• The instructions resembled legitimate loan verification steps.

• Financial pressure created a sense of urgency, making the scam more convincing.

• The client never anticipated that the account could be used for illegal activity.

These points reinforced that the client’s actions were solely driven by misunderstanding, not willful participation.

The client acted swiftly after receiving notice of account suspension. 

These actions strongly aligned with the behavior of a genuine fraud victim:

• Passwords and linked accounts were immediately reset.

• A cyber fraud report was filed with authorities.

• Bank fraud representatives were contacted.

• The scammer was confronted by message.

• Full cooperation was offered to investigators.

The presence of these behaviors made it clear that the client was attempting to mitigate harm, not conceal involvement.

This case highlights several important takeaways:

• A scam text message can easily draw innocent individuals into serious legal investigations.

• New York law places heavy weight on intent, making the victim’s perception and actions vital.

• Immediate corrective action significantly strengthens a defense.

• Maintaining communication records can be critical in proving innocence.

Residents receiving unsolicited loan offers or unexpected financial requests should exercise caution and avoid sharing banking credentials under any circumstances.