Belgian judge orders bank to reimburse phishing victims after couple lose their life savings
422 Mins Read
A Belgian court has ordered a bank to immediately reimburse nearly €50,000 to an elderly couple who lost their savings in a phishing scam, in a ruling that could have significant implications for how banks handle fraud victims.
According to Belgian newspaper L’Echo, the case involves a couple aged 90 and 93 who were deceived by fraudsters posing as bank employees. After being manipulated over the phone, the couple transferred a total of €49,958 to a bank account in Portugal.
The bank refused to compensate the couple, arguing that they had personally authorized the transfers and had therefore acted negligently.
However, an Antwerp judge ruled on May 26 that the bank must first reimburse the disputed amount. The court said that if the bank believes the customers were negligent, it can subsequently initiate legal proceedings to recover the funds.
The ruling comes amid increasing political scrutiny in Belgium over how financial institutions deal with phishing cases.
Belgian Consumer Protection Minister Rob Beenders recently criticized banks for what he described as an almost systematic refusal to reimburse fraud victims. Responding to a parliamentary question in late May, he argued that such an approach was not consistent with the intention of the law.
“I clearly confirm that the principle of the law remains: first reimburse, then discuss responsibility on the basis of a serious investigation conducted by the bank,” Beenders told the Federal Parliament.
Beenders also said that the use of a PIN code or the Belgian digital identification application itsme does not automatically prove that a customer consented to a transaction, particularly in phishing cases where such credentials may have been obtained fraudulently.
