New York attorney general sues payment app Zelle, lawsuit comes just months after Trump administration dropped similar case

New York Attorney General Letitia James filed a lawsuit against Early Warning Services, Zelle’s parent company. The lawsuit alleges Zelle failed to protect users from fraud. James claims Zelle lacked essential safety features. Scammers accessed accounts and deceived users. A previous federal case was dropped after leadership changes. Zelle dismissed the lawsuit as a political stunt.