First 100,000 Victims of Western Union Fraud Scheme Receive $153m
Western Union set up a remission fund to compensate the victims of a money transfer scam that hit thousands of its customers. The company states on Tuesday that it had begun paying approximately $153 million in funds that were forfeited to the US government to roughly 100,000 victims across the world. In 2017, Western Union entered into a deferred prosecution agreement with the US, the terms of which Western Union agreed to forfeit $586 million.
The money in the agreement will be used to compensate victims of fraudulent transactions that were knowingly processed by the company. Western Union stated recently that they were glad to return the money to customers who were victims of fraudulent campaigns, saying that they do not tolerate fraud in any form. According to the Department of Justice, victims were lured into sending money to criminals through Western Union.