Ontario businessman loses $38,000 in check cashing scam

A merchant in Ontario has claimed that after becoming a victim of a cash check fraud and failing to report the fraudulent activity to his bank immediately, he is now required to pay approximately $38,000. Joe John, the owner of Guycan Machine Works in Mississauga, stated, "I feel you work hard, put your money in the bank, and that's why I don't do online banking because I'm concerned about fraud."
Joe John has always had concerns about online banking, and he prefers to conduct his banking transactions in person. He alleges that recently, someone copied one of his checks and created eight counterfeit checks, uploading them to a mobile banking app, apparently depositing them and withdrawing $60,800 from his account.
TD Bank, with which Joe John collaborates, has initiated an investigation and refunded two of the eight checks. Joe John explains that since he did not immediately report the fraudulent activity, he is responsible for the remaining six checks, totaling $38,300.
In a letter from TD Bank, Joe John was informed, "Unfortunately, your claim has been denied as we did not receive it within the timeframe outlined in your product agreement." TD Bank states that they will not reimburse him because he did not report it correctly within 48 hours. Joe John raises an important point: how can he report these incidents if he does not have online banking?
Joe John claims that he receives his bank statements once a month. He is shocked that he is forced to cover the losses, adding that this situation forces him to close his business.
He states, "This should never happen where someone can take checks, print checks, cash checks, and leave an innocent, hardworking man's account, and the bank says it's your problem." TD Bank confirmed an ongoing investigation in a statement in Toronto and stated that they are working directly with Joe John on further actions but could not provide additional details.
The bank recommends that customers keep their checks in a secure place that is not easily accessible, remove unused checks from closed accounts, and regularly review their bank statements. The statement advises, "Minimize the use of checks and opt for electronic payments such as wire transfers, direct deposits, and pre-authorized payments. Money deposited goes directly from the payer and directly into the recipient's account." Joe John insists on getting his money back before he is forced to close his shop. He says, "I need the bank to take responsibility for their actions so that others like me don't have problems."

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