The Bank of Nova Scotia does not have a standard alert system that could have flagged suspicious behaviour connected to the alleged theft of $9.8-million from the music-funding non-profit FACTOR last June, its lawyer told a Toronto court.
The Foundation Assisting Canadian Talent on Recordings filed an application in July against Scotiabank and the cryptocurrency platform VirgoCX seeking to recover money that allegedly disappeared from its account in June. The money had been deposited by the federal Department of Canadian Heritage days earlier and was destined for the music industry, much of which depends on FACTOR funding to compete globally.. Friday’s hearing was about how to proceed with the case.
Mr. Veel put the ball back in the non-profit’s court: “There are also alerts that FACTOR could have set up at the time.”