Bangladesh Bank is now preparing a legal case to seek compensation for what it says were failures by the Fed, according to a source close to the Asian bank. The New York Fed, citing the criminal investigation, declined to comment on its communications with Bangladesh Bank and on what it did that Monday to attempt to recall Bangladesh Bank’s money. Yet it was the word Jupiter that set the loudest alarm bells ringing at the New York Fed. Late on Monday, according to Bangladesh Bank sources and the Philippine senate testimony, Bangladesh Bank sent messages via the SWIFT bank messaging system to RCBC asking it to freeze the money that had arrived in the four individuals’ accounts. In early May, Fazle Kabir, who had taken over as governor of Bangladesh Bank, wrote to William Dudley, president of the New York Fed, posing similar questions.

Source: Dhaka Tribune July 21, 2016 14:15 UTC