Santander Bank Cleared in $751K Crypto Scam Lawsuit, Court Rules
A Massachusetts appellate court has ruled in favor of Santander Bank in a high-profile case involving a customer who lost $751,000 to a cryptocurrency scam.
The April 18, 2025 decision ends a two-year legal battle, with the court finding that Santander had no legal obligation to block or warn against the transactions—even if they appeared risky.
The plaintiff, Lourenco Garcia, had filed suit after transferring funds from his Santander accounts to purchase crypto through Crypto.com and a now-defunct scam platform called CoinEgg.
Customer Authorized All Transfers
Between December 2021 and January 2022, Garcia made two debit card purchases and seven wire transfers totaling $751,000. He later discovered that CoinEgg was fraudulent and attempted to hold Santander responsible for not intervening.
Garcia’s claims included breach of contract, negligent misrepresentation, and violations of Massachusetts consumer-protection laws. He argued the bank should have flagged or halted the high-value transfers as suspicious.
However, the court noted that Santander’s customer agreement only states the bank may intervene if fraud is suspected—not that it must. Furthermore, Garcia authorized all the transactions himself and did not report any concerns until after his funds were gone.
Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
