Local Bank Hit By Second Multi-Million Scheme

First, there was a $6 million ordeal, now it's even worse

Just weeks after a trio, including a husband, his wife and her ex-hubby, were arrested and accused of trying bilking Webster Bank out of more than $6 million, the troubles for the Waterbury-based bank have escalated and might be $11 million dollars worse.

On Tuesday, the company released a statement about “elaborate embezzlement scheme” at a subcontractor that provides bulk cash processing on behalf of one of the bank’s major vendors.

No customers were affected, according to the bank. The subcontractor has paid back some of the money, according to the bank, and has insurance to cover the whole loss.

The Waterbury Republican-American contacted a bank official on Tuesday, who told the newspaper that  he could not comment.

This is the second multimillion dollar hit the local bank chain has suffered recent years.

Last month, the Internal Revenue Service arrested Susan A. Curtis, 48, and her husband, Gary J. Stocking, 43, of Naugatuck, who are accused of bank fraud and money laundering, and Curtis’ ex-husband, Kevin Caffrey, 45, of Wolcott.

They are accused of trying to defraud the bank of approximately $6.2 million between 2002 and May 2009.

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