Pig Butchering Scams, Financial Devastation, and Bank Negligence: When Will the Law Catch Up?
A new breed of financial fraud known as “pig butchering” has emerged as one of the most devastating forms of investment scams—draining billions’ of dollars from victims, many of whom are elderly or financially vulnerable. These complex, emotionally manipulative scams are often run by international criminal networks that use social engineering tactics to groom victims into transferring their life savings into fake cryptocurrency investments.
One harrowing example is that of Anamarie Hurt, a woman from Tulsa, Oklahoma whose husband was scammed out of more than $5 million after being lured into one of these schemes. The couple’s story, as detailed in a recent investigation by The Wall Street Journal, exposes not only the tactics of the scammers but also the troubling failure of financial institutions to intervene in the face of glaring evidence that the institution is facilitating such theft.
A Legal Loophole That Leaves Victims Exposed
While federal law requires banks to reimburse customers for unauthorized activity—such as hacking or identity theft—it arguably does not extend the same protection when the customer is tricked into authorizing the fraudulent transfer themselves. This gap in consumer protection is precisely what makes pig butchering scams so effective—and so devastating.
In Hurt’s case, her husband Craig made large wire transfers in person at Arvest Bank, including one for $300,000. Despite multiple red flags—including prior bank closures for suspicious behavior, the rapid liquidation of retirement accounts, and inconsistencies in recipient information—bank employees did not intervene. The money was lost, and the scammers continued to escalate their manipulation with threats, blackmail, and psychological control.
Are Banks Doing Enough?
Hurt’s lawsuit against Arvest Bank claims the institution failed in its legal duty to detect and stop suspicious activity—especially since she was a joint account holder who was never contacted by the bank to discuss these anomalous account activities. Other lawsuits across the country have been filed against banks like JPMorgan Chase and Wells Fargo, citing similar failures to flag or block clearly fraudulent transactions.
The legal burden remains high for victims. Existing fraud laws were created decades ago—long before modern computer-based scams and digital currency—and have not evolved to meet today’s threats. Without new legislation, many victims are left without recourse.
What States Are Doing—and What Still Needs to Be Done
More than 20 states now have laws that allow banks to delay transactions if they suspect elder financial exploitation, and many provide safe harbor from legal liability if a financial institution intervenes. However, these protections vary widely by state—and in places like Oklahoma, no such laws protect customers or require banks to act.
Advocates argue that federal legislation is long overdue. Lawmakers in Congress have proposed expanding fraud protections to include scams like pig butchering, which could help close the gap between customer authorization and criminal coercion.
Silver Miller’s Response: Holding Financial Institutions Accountable
Pig butchering scams are one of the most pressing consumer protection issues of this decade. At Silver Miller, we represent countless victims of financial exploitation—including those who were deceived into transferring funds through misleading crypto investment platforms, romance scams, and coordinated pig butchering operations.
Our attorneys are actively investigating cases where banks failed to stop or report suspicious activity, allowed fraudulent and anomalous activities to go unchecked, or approved questionable wire transfers without conducting proper due diligence.
When financial institutions ignore red flags, they should be held accountable. The burden should not fall on the victims—especially elderly investors or vulnerable individuals who were misled into thinking they were making legitimate financial decisions.
If you or a loved one has lost money to a pig butchering scam or other type of investment fraud, contact Silver Miller today for a confidential case evaluation. Justice may begin with one call.
