What’s that? My check finally came! This Nigerian prince said if I sent him my social security number he’d write me a check equal to my number! But I ain’t stupid! No! See little does he know that my social security number isn’t 50 billion hehehehe. From now on, coffee's on me buddy! I’m in the big money now! No. What? It’s fake. Aww… Although… If you’ve ever actually skimmed through your piles of junk mail, you may have seen fake checks promising huge returns on investments once or twice. Often, they’re marked with a “non negotiable” or “void” to indicate that you can’t really cash them. But there was often a nagging little question that worked its way into the heads of those who saw these things. Namely, “What would happen if I actually deposited this?” But first… Today’s topic involves financial decisions and legal matters. We’re not financial experts, nor are we lawyers. We’re just taking a look at a topic from an unbiased perspective. It’s best to look into any checks you receive by mail and ensure they’re from a trusted source. And with that out of the way… Let’s get into it! 1995, a man by the name of Patrick Combs received the usual junk mail just like many of us, including one of the prevalent fake checks. It was like any other, listing an insane amount of money, in this case just over $95,000. But unlike many of us, Combs actually deposited it. You’re saying I could cash my check? You can certainly try, but don’t expect to get anything. Aww... In fact, Combs himself didn’t expect anything when he deposited. Or in his words, “What I expected to happen next was a short phone call from my bank. Or a letter informing me of what I already knew, that the check I deposited was not real.” Did that… Not happen? No, not exactly. Not intentionally, at least. The bank at first put the deposited money in his account under hold—which is standard operating procedure. Only so much of it is accessible until the bank can verify the deposit. Combs expected it to vanish any day, but the money was released, so Combs put it on a banker’s check and placed it in a safety deposit box. Well either they have quite the sense of humour, or they were about to get real mad. Very mad. A month after depositing the check the bank demanded the money back. But others - including financial and legal experts - told him that he was in the clear. Wait, but how could he be in the clear? Isn’t that like fraud or something? Eh come on. The bank waited too long to realize their mistake. Potentially, let’s look a little closer at that. Take us away magic coffee man! Come on gang let’s go. Po— It’s Howard. Howard, query. How long does a bank have to catch an error? Banks have a period of years to spot errors in payments, and they can correct them without notifying the customer. Taking the money can be considered a serious crime. A good example here is the case of Hui “Leo” Gao, a New Zealand man whose bank accidentally gave his business account an overdraft of 10 million New Zealand dollars, instead of 100 thousand New Zealand dollars in 2009. Once he realized what had happened, Gao fled New Zealand and transferred 6.78 million dollars from his account, which in turn clued the bank in to the error and allowed them to recover 3 million dollars. Gao and his then-partner Kara Hurring fled to Hong Kong, with the local press dubbing the two “runaway millionaires”. Gao himself spent two years on the run, but Hurring returned to New Zealand voluntarily in February 2011 after having a son and then breaking up with Gao. She was sentenced to nine months’ home detention and ordered to pay 11,800 New Zealand dollars in reparations on charges of money laundering, attempted fraud, and theft despite claims that Gao had told her he’d won the lottery. And as for Gao, he was arrested by Interpol in Hong Kong in September 2012, and was sentenced to four years and seven months in jail for money laundering, attempted fraud, and theft. That said, if an error is made in the bank’s favor, you generally only have 30 days to notify the bank. Well That seems… unfair. So does that mean Mr. Combs really was in danger of being arrested? Well, no, actually. In this case, Combs kind of lucked out. Despite the “non-negotiable” written in small print in the corner of the check, the fake check issued by Association of Certified Liquidators had been made to look so realistic that it met nine of the ten criteria used to verify a real check. Apparently, the fake check looked so real, that it had legally become so. And not only that, but it took the bank over a month to realize what had happened, which,unlike a banking error, is past the legal deadline to inform Combs that the check he deposited was a “non cash item”. Even so, they asked him to give them permission to drill open the safety deposit box and reclaim the check. Combs did not give permission. And, um, how did the bank take that? Well, through a long process of patience and reflection… Sued him, they sued him. But let’s back up a bit. Whoa, too far. The threat of legal action started early on, when the bank called in a furor, but it was one particularly aggressive phone call from a security officer that pushed things over the edge. Amusingly, at the time Combs had been willing to just give the cash back but following the attitude of the officer and legal threats, Combs asked for a letter from the bank exonerating him before he did anything. The bank refused, so Combs didn’t give them the money. According to Combs, he had been told by no less than six lawyers that he had a legal right to the money. In the meantime, Combs took his story to the media. First he approached the Wall Street Journal, and then when the story got out he soon found himself invited on Good Morning America, and a slew of other talk shows. And in the end, it seems like he won. In his own way. Combs and the bank came to an agreement after entering into a legal battle with Combs returning the money… and the bank handing him the letter that he wanted. Aw, what? He just gave it back? Well Grill, you can’t… You can’t just take money that isn’t yours like that. It might have been legal because it kind of was his, I guess, but… But morally- Morality? Malarkey! Banks can shove it, He shoulda kept the cash! Well, that is what a number of people suggested he do, and Combs himself commented that he did struggle with the ethics of it to a point. Though he doesn’t seem too broken up about it. Or in his words, "It's hard to give back $95,000 when six lawyers have told you it's legally yours. Now, I'm giving it back, and it's a wonderful feeling." Besides, Combs may have made the more profitable decision in the end. Combs took his experiences and turned them into a number of ways to earn himself a comfortable living. He started off by putting the story on his website with a link for donations. And that worked? Not until he posted a piece of hate mail he’d received next to it. Then the tips started pouring in. Since then he’s written a book called “Man 1, Bank 0” and hosted a pair of one man theater shows recounting the tale. One named “Man 1, Bank 0” as well, the other titled “Cash me if you can”. And did he get to keep his bank account? Well, after getting the letter from his bank, he was told “First Interstate isn't asking you to close your account, but it would please First Interstate if you did.” Oh snap. Since then, Combs has changed banks, but even with the irritation of opening an account with a new institution, I think it’s safe to say that he really cashed in. Brew, you don’t have to end every single one of your videos with a stupid pun. You know that, right? Like, they’re not funny, it’s not even cute anymore. To be honest, it’s just sad. Like, do you think you’re funny? Cause if you do, you should really get your head “checked”. Ha hoo! You should’ve seen your face haha. Oh God.
