Hay Maker Seeks Cyberheist Bale Out
Summary: Oregon Hay Products Inc., a hay compressing facility in Boardman, Oregon, is suing its bank to recover $223,500 stolen in three wire transfers sent to JSC Astra Bank in Ukraine between Sept. 1 and Sept. 3, 2010. The thieves kept each transfer just under the company's $75,000 daily limit, and neither the company nor Community Bank detected the fraud until Sept. 14, when Oregon Hay could no longer access its accounts online.
Why it matters: The complaint argues Community Bank's security was not commercially reasonable under UCC Article 4A, citing 37 failed login attempts from five IP addresses over six days and wires sent from addresses the company had never used. Under Article 4A, a payment order can be treated as the customer's even when unauthorized if the bank's security procedure is deemed commercially reasonable, which puts the definition of that standard in front of a court.
Read the original at Krebs on Security ↗
- Topics
- Data Breaches
- Related
- TSMC employee data breach linked to cloud provider Cyber Risks · Nov 15, 2026Data Breach at La Poste Subsidiary Maileva Affects 22 Million People in France Cyber Risks · Nov 15, 2026City of Osaka warns of data breach impacting 1 million as Japan reels from dozens of cyber incidents Cyber Risks · Nov 13, 2026