Wachovia to Pay $178 Million to Settle RICO Class Action
Wachovia Bank has agreed to pay more than $178 million to settle a class action RICO suit that accused the bank of allowing two telemarketing firms to swindle elderly victims through the use of "remotely created checks." The proposed settlement replaces a previous $125 million settlement between Wachovia and the Treasury's Office of the Comptroller of the Currency, which drew criticism from plaintiffs lawyers and a trio of Congress members because it would have required victims of the scheme to file claim forms.
