FOLLOW US

America August 6, 2025 2 mins read

Voyager Digital Former Bank Escapes Fraud Suit For Now

America ı By Rochdi Rais

0 Comments

Voyager Digital Former Bank Escapes Fraud Suit For Now

New York, NY – August 6, 2025Metropolitan Commercial Bank, the former banking partner of now-defunct crypto lender Voyager Digital, has secured a temporary legal victory as the U.S. District Court for the Southern District of New York dismissed a sweeping 53-count fraud lawsuit. The ruling, issued Monday by Judge Paul A. Engelmayer, determined that the current complaint does not plausibly establish claims of fraud or unjust enrichment.

The suit, originally filed in November by Michael Wyse, the bankruptcy plan administrator for Voyager, represents over 30,000 former platform users. It alleged that Metropolitan knowingly enabled Voyager’s deceptive marketing of its platform as safe, legal, and FDIC-insured, despite substantial risks and the eventual $1.7 billion owed to U.S. customers—much of which remains unpaid.

Judge Engelmayer noted that the complaint failed to show that any individual customer relied on specific misrepresentations from either Voyager or Metropolitan, a flaw that proved "fatal" to 38 of the fraud claims. The unjust enrichment claim was also dismissed, as it relied on the same legal grounds as the fraud allegations.

Despite the dismissal, the court has granted Wyse a final opportunity to amend the complaint out of consideration for the interests of former Voyager customers.

The suit contends that Metropolitan’s association with Voyager lent false legitimacy to the platform, allegedly helping it evade money transmission laws and mislead millions of retail investors. At its peak, Voyager claimed over 3.5 million users and $5.6 billion in assets.

Legal counsel for Wyse includes Darren Azman, John J. Calandra, Joseph B. Evans, Elizabeth Andrea Rodd, and Lisa Gerson of McDermott Will & Emery LLP. Metropolitan Commercial Bank is represented by John Kolsin Crossman and Jeffrey Louis Friesen of Zukerman Gore Brandeis & Crossman LLP.

The case is titled Wyse v. Metropolitan Commercial Bank, Case No. 1:24-cv-09108.

Previous Article

Perplexity Accused of “Stealth Crawling” in Cloudflare Report on AI Bot Abuse

Read More
2772 Posts

Rochdi Rais

Rochdi Rais is the Head of Growth and financial and legal writer at USA Herald. He has been writing and editing financial, legal and U.S. news for years with over +4000 articles published during his career.

Discussion

No comments yet. Be the first to join the discussion!

Don’t Miss It
High Profile Court Cases September 13, 2026
CIA Gold Bar Case Nears Plea Deal Amid Classified Evidence
By – Michallie Harrison
International September 12, 2026
Saudi Pipeline Shutdown Threatens a Deeper…

Saudi Arabia announced a precautionary halt to its East-West Pipeline…

By – Michallie Harrison
America September 12, 2026
Duke University Ends Reginaldo Howard Scholarship…

DURHAM, N.C. — Duke University has discontinued a decades-old merit…

By – Jackie Allen
America September 12, 2026
Bali Tourist Deported and Banned for…

A Bali vacation ended with an Australian tourist being deported…

By – Jackie Allen
America September 11, 2026
$LAPTOP Meme Coin Crashes After Hunter…

Hunter Biden’s $LAPTOP cryptocurrency suffered a dramatic collapse shortly after…

By – Jackie Allen
America September 11, 2026
Open Secure AI Alliance Forms as…

The Open Secure AI Alliance has brought together a broad…

By – Jackie Allen
America September 11, 2026
Silverthorne Bomb Threat Triggers Evacuations, School…

A routine Friday afternoon in the mountain town of Silverthorne,…

By – Rihem Akkouche
America September 11, 2026
Silverthorne Bomb Threat Triggers Evacuations, School…

A routine Friday afternoon in the mountain town of Silverthorne,…

By – Rihem Akkouche
America September 11, 2026
Arrow Bank to Acquire Skene Valley…

Some businesses grow by chasing new markets far from where…

By – Rihem Akkouche
America September 11, 2026
Tenet Health 1,500 Layoffs Ripple Across…

Job losses rarely arrive in isolation — they tend to…

By – Rihem Akkouche
America September 11, 2026
Bears and RB Swift $33.75M Extension…

Sometimes the best deals get done before the clock even…

By – Tyler Brooks
America September 11, 2026
New Mexico Atty $5K Fine Follows…

Courtrooms run on facts, testimony and citations that can withstand…

By – Tyler Brooks
America September 11, 2026
Ryan Ryan $60M Malpractice Lawsuit Accuses…

Sometimes the most expensive mistake isn’t what a lawyer says…

By – Tyler Brooks
America September 11, 2026
Skywatcher: ExoMoon Discovery May Reveal First…

An ExoMoon discovery may have given astronomers their first confirmed…

By – Jackie Allen
America September 11, 2026
Skywatchers: Moonshadow Creates Dramatic Blood Moon…

A Moonshadow transformed the night sky Aug. 27 as the…

By – Jackie Allen
America September 10, 2026
Flock Safety Cracks Down on Police…

Flock Safety is introducing mandatory safeguards for its automated license-plate…

By – Jackie Allen
America September 10, 2026
OpenAI Cybersecurity Under Scrutiny After AI…

OpenAI cybersecurity concerns are growing after researchers reported that a…

By – Jackie Allen
America September 9, 2026
To Catch a Predator: Robert Pattinson…

The phrase Catch a Predator became synonymous with one of…

By – Jackie Allen
America September 8, 2026
Trump-a-Palooza: Republicans Put Trump at Center…

DALLAS — Trump-a-Palooza is bringing Republicans from across the country…

By – Jackie Allen
America September 11, 2026
Mexican Food Company Announces California Layoffs…

Key Takeaways Ruiz Foods is cutting 176 jobs at its…

By – Samuel Lopez
America September 10, 2026
41% of Lawyers Say Legal Careers…

Key Takeaways More than 41% of surveyed lawyers say the…

By – Samuel Lopez
America September 10, 2026
Trump Promises $5,000 Dividend Checks if…

By Samuel López | USA Herald DALLAS — President Donald…

By – Samuel Lopez
America September 10, 2026
Hawaii Couple Sentenced to Prison After…

Key Takeaways Scott Hawver received 16 months in prison, and…

By – Samuel Lopez
America September 10, 2026
Massachusetts Judge Publicly Reprimanded Over 2018…

Key Takeaways The Massachusetts Supreme Judicial Court publicly reprimanded Judge…

By – Samuel Lopez
America September 10, 2026
Anthropic Says It Caught Scientists Trying…

Key Takeaways Anthropic’s newest threat intelligence report details five case…

By – Samuel Lopez
America September 10, 2026
Anthropic Says It Caught Scientists Trying…

Key Takeaways Anthropic’s newest threat intelligence report details five case…

By – Samuel Lopez
America September 10, 2026
Wrongful Death Lawsuit Against Energy Drink…

Key takeaways The latest reported order paused the family’s lawsuit…

By – Samuel Lopez
America September 9, 2026
Ambient AI Could Be the Next…

Key Takeaways Ambient AI can turn conversations into draft records,…

By – Samuel Lopez
America September 5, 2026
Georgian National Indicted in Money Laundering…

By Samuel López | USA Herald A federal grand jury…

By – Samuel Lopez
America September 1, 2026
DOJ Drops Hammer On Kansas School…

By Samuel López | USA Herald The U.S. Department of…

By – Samuel Lopez
America August 28, 2026
CVS Ordered to Answer for AI-Fueled…

Case at a Glance A Manhattan federal judge has ruled…

By – Samuel Lopez
America September 6, 2026
Travis Kelce-Backed Club Car Wash Faces…

By Samuel López | USA Herald A fast-growing car wash…

By – Samuel Lopez
America September 6, 2026
‘DWTS’ Gleb Savchenko Lists $1.4 Million…

By Samuel López | USA Herald Factual Background Gleb Savchenko…

By – Samuel Lopez
America September 4, 2026
Trump Calls Tiger Woods DUI Plea…

In This Report Tiger Woods accepted reduced charges and surrendered…

By – Samuel Lopez
America September 2, 2026
Clippers Fined $30M as NBA Drops…

A year-long investigation just landed on the Los Angeles Clippers…

By – Rihem Akkouche
America August 26, 2026
Tupac Shakur Murder Trial Moves to…

The Tupac Shakur murder trial will resume Thursday in Las…

By – Jackie Allen
America August 21, 2026
World Cup Brawl Leads to Major…

EAST RUTHERFORD, N.J. — The World Cup final between Spain…

By – Jackie Allen

No posts found.

No posts found.

Signup for the USA Herald
exclusive Newsletter