“Fraud and scams are an enormous threat to Americans and the financial system. On behalf of America’s leading retail banks, CBA has long called on policymakers to address the issue through a whole-of-government strategy that works across industries to protect consumers and their hard-earned money.
“We applaud President Trump for taking decisive action today, which will enhance interagency coordination, pursue the criminal networks behind these attacks, and prioritize prosecution of cyber-enabled fraud.
“CBA looks forward to working with the Administration and Congress to build on this momentum…
THE TD BANK INSIDER “BRIBE-FOR-DATA” SCHEME (USA)
Date: February 17, 2026 Perpetrator: Edward Low (Former Bank Employee)
Case Description: In a high-profile case of “Insider Threat,” Edward Low, a former employee of TD Bank in New York, pleaded guilty in a New Jersey federal court to accepting bribes in exchange for confidential customer data. Between 2021 and 2022, Low leveraged his internal access to harvest the personal details of high-balance account holders. He then sold this “hot data” to external fraud syndicates for as little as $26,700 in personal kickbacks.
The external fraudsters used the information Low provided to conduct “Account Takeovers” (ATO), creating fraudulent checks and falsifying bank records to drain over $500,000 from unsuspecting customers. Low even went as far as helping co-conspirators open shell company accounts at a second financial institution where he was later employed. He now faces a maximum penalty of 30 years in prison. This case has sent shockwaves through the global banking sector, highlighting that even the most robust external firewalls cannot protect against a “rogue insider” with administrative credentials.
Link to Original: US Dept of Justice – TD Bank Insider Plea
Consumer Bankers Association (CBA) President and CEO Lindsey Johnson today released a new statement after President Donald J. Trump signed an Executive Order (EO) to combat cybercrime, fraud, and predatory schemes targeting American families, businesses, and critical infrastructure.
“Fraud and scams are an enormous threat to Americans and the financial system. On behalf of America’s leading retail banks, CBA has long called on policymakers to address the issue through a whole-of-government strategy that works across industries to protect consumers and their hard-earned money.
“We applaud President Trump for taking decisive action today, which will enhance interagency coordination, pursue the criminal networks behind these attacks, and prioritize prosecution of cyber-enabled fraud.
“CBA looks forward to working with the Administration and Congress to build on this momentum…
Investment fraud targets the human desire for financial growth by promising high returns with “low to no risk.”
- Ponzi Schemes: Named after Charles Ponzi, these schemes pay “returns” to earlier investors using the capital brought in by newer investors. There is no actual underlying business; the system collapses when new recruitment slows down.
- Pyramid Schemes: Similar to Ponzi schemes, but participants are usually required to sell a product or service. The primary “profit” comes from the recruitment fees of new members rather than actual product sales.
- Pump and Dump: Fraudsters spread false, positive rumors about a cheap stock (the “pump”) to drive up the price. Once the price peaks, they sell their shares (the “dump”), leaving other investors with worthless stock.