New York Attorney General Letitia James’ office picked up the lawsuit after the Consumer Financial Protection Bureau dropped a similar one in March.

An investigation by the attorney general's office revealed that Zelle lacks safety features that would have protected users from scammers, who have stolen over $1 billion between 2017 and 2023.

New York Attorney General Letitia James sued the parent company of payments network Zelle, alleging it enabled fraud.