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Louisiana Woman Arrested for Spending $1.2 Million Accidentally Deposited Into Her Account: Report

Updated: 5:38 AM PDT, April 15, 2021
Kelyn Spadoni, 33, was charged with bank fraud, illegal transmission of monetary funds and theft greater than $25,000.
A Louisiana woman has been arrested after she went on a massive shopping spree, purchasing a new house and a new car with $1.2 million that was not hers, according to authorities. Major financial service corporation Charles Schwab deposited the money into the woman s account in error, officials said.
Kelyn Spadoni, 33, was charged with bank fraud, illegal transmission of monetary funds, and theft greater than $25,000, reports the New York Times.
Spadoni, of Harvey, LA. was released on a $150,000 bond on Thursday, according to Captain Rivarde. He said 75% of the missing money has been recovered, Fox Business reported. ....

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Earnings season kicks off; higher tax rates may work in banks' favor

Earnings season kicks off; higher tax rates may work in banks' favor
americanbanker.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from americanbanker.com Daily Mail and Mail on Sunday newspapers.

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A $1.2 Million Charles Schwab Bank Deposit Error Buys a House, and an Arrest, Officials Say

Recipients of cash wired in error are typically required to return it.
James J. Angel, an associate professor of finance at Georgetown University’s McDonough School of Business, said those were examples that generally involve a recipient who does not have a “natural claim” to the funds.
“In general, if it’s not yours, you’ve got to give it back,” he said, emphasizing that he was speaking generally, and not commenting specifically on the Spadoni case. “Somebody who is not expecting it, hasn’t requested it, and it suddenly shows up? It was obviously an error.”
But a federal judge’s ruling this year offers a prominent exception. In 2020, Citigroup accidentally wired $900 million to a group of lenders, intending to make a small interest payment on behalf of the beauty company Revlon, but instead repaying them in full. ....

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A $1.2 Million Bank Error Buys a House, and an Arrest, Officials Say

Kelyn Spadoni tried to keep a deposit that was off by five decimal places, according to the authorities, who said she was charged with fraud and fired from her job on the same day. ....

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Charles Schwab Tries, Probably Fails To Make Citi Feel Better About That Whole Accidentally Sending People Too Much Money Thing

Charles Schwab Tries, Probably Fails To Make Citi Feel Better About That Whole Accidentally Sending People Too Much Money Thing
Misery loves company, but is Schwab really all that miserable?
Author:
Misery loves company, but is Schwab really all that miserable?
Citigroup is no doubt still smarting about the whole accidentally-sending-$900-million-to-the-hedge-funds-who-were-already-fighting-us-over-that-$900-million-and-being-unable-to-get-it-back thing. Understandably so. But, look, guys, everyone makes mistakes, as Charles Schwab has very kindly decided to demonstrate, albeit in a couple-of-orders-of-magnitude-smaller sort of way.
It was the type of windfall that investors pine for with every rally on Wall Street: $1,205,619.56 had inexplicably ended up in the brokerage account of a 911 dispatcher in Louisiana in February…. Charles Schwab said that it was supposed to have moved only $82.56 into Ms. Spadoni’s Fidelity Brokerage Services account, but that a ....

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