Chelan County sues Bank of America over $600,000 cybertheft

WENATCHEE — Chelan County is suing its former bank, Bank of America, over $600,000 in losses from an international cybertheft last year.

The Wenatchee World reported that the theft occurred after hackers stole password information from Cascade Medical Center in Leavenworth. The Chelan County Treasurer’s Office handles accounts for the nonprofit hospital.

The lawsuit, filed in federal court in Spokane, says Bank of America processed at least $603,000 of the stolen money even after the treasurer’s office informed the bank that the transactions weren’t authorized.

The bank has not filed a response to the lawsuit and a spokeswoman told the newspaper the bank had no comment. But it told the county last year it is not liable for the security breach because it originated with the password intrusion on the hospital’s computers.

The hackers were believed to be based in Russia or Central Asia. The county did recover about $420,000 in related fraudulent transactions.

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