NationStates Jolt Archive

A New Zealand couple whose bank mistakenly paid 10 million New Zealand dollars (£3,900,000) into their account have taken the money and are now on the run.

Leo Gao and his Australian girlfriend Cara Young, who ran a service station in the tourist city of Rotorua on North Island, had applied to Westpac bank for a $10,000 overdraft.

When a blunder by bank staff credited their account with 1,000 times more than the amount they had asked for, the accidental millionaires appear to have decided to use their sudden wealth to live up to Westpac’s motto: “Make the most of life”.

Two weeks ago, on May 7, they suddenly shut the doors of the BP Barnett garage on the outskirts of Rotorua and disappeared, leaving only a note saying that the business had gone into receivership.

http://www.timesonline.co.uk/tol/news/world/article6331814.ece

So what would you do? Return it back to the bank or have a living at the Bahamas?

Hmm.

Probably take it and run like hell.

*is highly jealous*

There are a few places in Asia I could retire to with that sort of money.

Hmm.

Probably take it and run like hell.

I would be conflicted. It would be nice to get 10 million dollars in my account, but if it's a mistake, sooner or later I will have to give it back. Even if I run away with it.

I would be conflicted. It would be nice to get 10 million dollars in my account, but if it's a mistake, sooner or later I will have to give it back. Even if I run away with it.

Depends how far you run and how well you hide.

Nice. It is just basically stealing though.

Depends how far you run and how well you hide.

True, but... with such a large sum of money, won't the bank and the authorities strive very hard to get me?

I would be conflicted. It would be nice to get 10 million dollars in my account, but if it's a mistake, sooner or later I will have to give it back. Even if I run away with it.

Some counties will never bail you out. And even a proper false ID isn't that hard to get.

I think with that amount of money you can cover your traces well.

I would be conflicted. It would be nice to get 10 million dollars in my account, but if it's a mistake, sooner or later I will have to give it back. Even if I run away with it.

Depends how far you run and how well you hide.
I think...
In the US if you withdraw an accidental deposit the bank can't take it back.

True, but... with such a large sum of money, won't the bank and the authorities strive very hard to get me?

Well, yes, but there are many countries with no extradition treaties. I would find one and fly to it, with a lot of money.

Well, yes, but there are many countries with no extradition treaties. I would find one and fly to it, with a lot of money.

As I read the over draft part. It seems the error is the bank loaned them money. Atleast that's what I think they meant by applied for an overdraft.
I dont think defaulting on an unsecured loan is a extraditable offense.

I would like to see the face of the bank employee when one is asking to pay out 6 million NZ $ :)

I dont think defaulting on an unsecured loan is a extraditable offense.

If you took money without any intention to ever pay it back you could be done for fraud. I think.

I would like to see the face of the bank employee when one is asking to pay out 6 million NZ $ :)

Well, in the US, to pay out $10,000,000, it would fill about 10 grocery bags.

EDIT: Assuming all $100 bills, of course.

That's nothing....


How 'bout this for a bank fuck up?

http://www.mirror.co.uk/news/top-stories/2009/02/26/780m-in-bank-115875-21153949/

A WOMAN's current account was credited with £780million after a "technical error" by Nordea Bank in Sweden

Damn, can't find another source...but it's really true. The actual amount was something like 9 billion swedish krona.


Or this?

http://www.thelocal.se/17154.html

Woman exchanges Monopoly money for Danish kroner

A woman in Denmark played a high stakes game last week when she successfully convinced a bank to exchange bills worth two thousand "kronor" in Swedish Monopoly money for a quantity of real Danish money.


edit:
Ah, found another source..


http://globalnation.inquirer.net/cebudailynews/community/view/20090225-190899/Swedish-woman-finds-113-B-windfall

Swedish woman finds $1.13-B windfall

STOCKHOLM – A Swedish woman received the shock of a lifetime when she found $1.13 billion (€883 million) more than expected in her bank account, a newspaper reported Tuesday.
..
..
"The balance was more than 10 billion kronor. It said the amount had been deposited as a correction for a credit card purchase," Johansson's boyfriend Daniel Hoeglund told the daily.


Think about it, few errors like that and a whole country could go bankrupt....

If you took money without any intention to ever pay it back you could be done for fraud. I think.

if they left enough to pay the 10,000 dollar loan they agreed to.

I think...
In the US if you withdraw an accidental deposit the bank can't take it back.

I find this highly unlikely. I remember a rather drawn out thread when a different couple in American did something like this. The point of contention was that some people insisted that customers should be able to keep money the bank gives them in error.

God dammit, why don't these things happen to me?! :(

I'd toy with the idea of taking it and running it, but with the moral values that my parents instilled in me, I'd probably just tell the bank about it, and hope for a reward.

Go on take the money and run...woo woo woo!

It'd be like robbing a bank without all the danger! Wicked fun!

Go on take the money and run...woo woo woo!

It'd be like robbing a bank without all the danger! Wicked fun!

Pfft, the danger is half the fun. That and waving a gun around a crowded bank.

I find this highly unlikely. I remember a rather drawn out thread when a different couple in American did something like this. The point of contention was that some people insisted that customers should be able to keep money the bank gives them in error.

Windfall...legal minefield...if you piss it away on something frivolous you would never have bought anyway, you might be able to keep it. If you spend it on ordinary expenses, you have to pay it back. Some interesting case law on the subject...point being, there is no bright line rule to protect you.

Pfft, the danger is half the fun. That and waving a gun around a crowded bank.

It'd be nice to get some prompt service for a change.

Windfall...legal minefield...if you piss it away on something frivolous you would never have bought anyway, you might be able to keep it. If you spend it on ordinary expenses, you have to pay it back. Some interesting case law on the subject...point being, there is no bright line rule to protect you.

Part of the problem with that one may have been that it was actually someone else's money that got accidentally deposited in their account. The withdrew it and disappeared to.....Florida of all places.

That's nothing....


How 'bout this for a bank fuck up?

http://www.mirror.co.uk/news/top-stories/2009/02/26/780m-in-bank-115875-21153949/

A WOMAN's current account was credited with £780million after a "technical error" by Nordea Bank in Sweden

Damn, can't find another source...but it's really true. The actual amount was something like 9 billion swedish krona/980 million euros.


Or this?

http://www.thelocal.se/17154.html

Woman exchanges Monopoly money for Danish kroner

A woman in Denmark played a high stakes game last week when she successfully convinced a bank to exchange bills worth two thousand "kronor" in Swedish Monopoly money for a quantity of real Danish money.

If the vikings bank like that, I am no longer surprised why Iceland's banking system collapsed.

Part of the problem with that one may have been that it was actually someone else's money that got accidentally deposited in their account. The withdrew it and disappeared to.....Florida of all places.

they were likely looking to retire.

they were likely looking to retire.

Florida: God's waiting room.

If the vikings bank like that, I am no longer surprised why Iceland's banking system collapsed.
Yeah, the Swedes and Danes don't know shit about banking...so why should the Icelanders?


A billion dollar mistake is a huge one though...

Where did the money come from? Thin air? Why do they keep printing money when all you have to do is add few zeroes to an account?

Besides, add few of those mistakes together and you might BUY any of the mid-African countries. :eek:

I think...
In the US if you withdraw an accidental deposit the bank can't take it back.

Hmmm... I rather like that.

Hmmm... I rather like that.

I'm pretty sure that's not actually true.

I'm pretty sure that's not actually true.

*shrugs*

If I ever disappear I'd like you all to assume that this has happened

Some counties will never bail you out. And even a proper false ID isn't that hard to get.

I think with that amount of money you can cover your traces well.
You can. Note, though, that you should maintain at least basic connections in the underworld in order to get forged papers and other things you'll need.

Otherwise you run a high risk of trying to get your new forged ID from cops.

You can. Note, though, that you should maintain at least basic connections in the underworld in order to get forged papers and other things you'll need.

Otherwise you run a high risk of trying to get your new forged ID from cops.

if you go to a 3rd world country you can make the new ID yourself.

A New Zealand couple whose bank mistakenly paid 10 million New Zealand dollars (£3,900,000) into their account have taken the money and are now on the run.

Leo Gao and his Australian girlfriend Cara Young, who ran a service station in the tourist city of Rotorua on North Island, had applied to Westpac bank for a $10,000 overdraft.

When a blunder by bank staff credited their account with 1,000 times more than the amount they had asked for, the accidental millionaires appear to have decided to use their sudden wealth to live up to Westpac’s motto: “Make the most of life”.

Two weeks ago, on May 7, they suddenly shut the doors of the BP Barnett garage on the outskirts of Rotorua and disappeared, leaving only a note saying that the business had gone into receivership.

http://www.timesonline.co.uk/tol/news/world/article6331814.ece

So what would you do? Return it back to the bank or have a living at the Bahamas?
Return it immediately. It's not right to take it because it's not mine.

Return it immediately. It's not right to take it because it's not mine.

its in my bank account it is mine

Return it immediately. It's not right to take it because it's not mine.

liar.

liar.

I think he ahs some ill gotten money right now. which is why he lies to cover it up. Arrest him seize his assets and distribute them to NSG members just to be safe.

I think he ahs some ill gotten money right now. which is why he lies to cover it up. Arrest him seize his assets and distribute them to NSG members just to be safe.

I second that motion! And now, I'll go poof in a cloud of glitter!:D

if you go to a 3rd world country you can make the new ID yourself.
Third world countries have their papers nearly as secure as first world ones, and sometimes more secure.

They also (except for Somalia) have a habit of checking them far more often and have mandatory ID carrying is common.

Sorry to disappoint, if you were being serious...

Return it immediately. It's not right to take it because it's not mine.
But you're stealing from the System! Theft is OK as long as you don't see the person you're stealing it from.

Though in reality it's bank's management and stockholders, not the innocent townpeople with accounts.

Third world countries have their papers nearly as secure as first world ones, and sometimes more secure.

They also (except for Somalia) have a habit of checking them far more often and have mandatory ID carrying is common.

Sorry to disappoint, if you were being serious...

they also have a habit of taking cash in place of ID.
Not being able to scan the barcode to verify ID cards and in Guatemala having no system to radio in numbers. Even more so if you forge a passport from a country other then the one your staying in.
And they still use a picture laminated on to a card board ID as opposed to something imprinted on plastic.

its in my bank account it is mine

Not true if it was deposited due to a bank error.

Besides, do you really understand the amount of legal trouble you could be in if you did hold onto it? Nuh uh. I'm not risking that for something I didn't earn anyway. It's not right to do that.

But you're stealing from the System! Theft is OK as long as you don't see the person you're stealing it from.

Though in reality it's bank's management and stockholders, not the innocent townpeople with accounts.

No it's not okay. Theft can be justified, but this is not justifiable theft.

Not true if it was deposited due to a bank error.

Besides, do you really understand the amount of legal trouble you could be in if you did hold onto it? Nuh uh. I'm not risking that for something I didn't earn anyway. It's not right to do that.

In this case it was a loan error.
So spend the money in a foreign country and then declare bankruptcy.
I will live like a king for 2 years.

I would rather be an honest pauper than a dishonest king.

I would rather be an honest pauper than a dishonest king.

that is why honest men never become king.

they also have a habit of taking cash in place of ID.
As does nearly everyone, only the prices differ. Their cops can also just shake all the cash out of you instead, if they notice you have it.


Not being able to scan the barcode to verify ID cards and in Guatemala having no system to radio in numbers. Even more so if you forge a passport from a country other then the one your staying in.
And they still use a picture laminated on to a card board ID as opposed to something imprinted on plastic.
Some third world countries are behind ID-wise. But most, especially the ones you'd actually like to move to, tend not to be.

No it's not okay. Theft can be justified, but this is not justifiable theft.
Ask yourself: Is it evil to steal?

If yes, you have an evil justification.

Some third world countries are behind ID-wise. But most, especially the ones you'd actually like to move to, tend not to be.

the one thing I have learned about Latin America. They do not mess with the gringo with money, as long as they are not being stupid.
I lived 6 months no ID in Guatemala cause I lost it.
3 times I was asked for ID.
Once when driving at a check point. I slipped him about 5 US dollars and he said Bueno.
The second time I was driving drunk I slipped him 50 USD and he said Bueno and drove in front of me, on my way back to my hotel.
The third time I was outside the US consulate waiting to go in and get a replacement passport, and after I explained I lost my ID he said Bueno I didn't even have to tip him.

It might be different if I were a local. With the exception of Cuba and maybe Venezuela Latin America leaves the gringos alone so they spend money.
Maybe could be an issue in Latin American countries with more European ancestry, like Argentina or Brazil. Even then I would have to learn the language really well.

Ask yourself: Is it evil to steal?

If yes, you have an evil justification.
I don't view the world through good and evil. Good and evil are naught but concepts.

I don't view the world through good and evil. Good and evil are naught but concepts.

With banks failing it is obvious I will do more good with the money then those banks. So it is a good to take the money.

With banks failing it is obvious I will do more good with the money then those banks. So it is a good to take the money.

You'll go to some back water and binge yourself on drugs and the local whores. The banks could at least be classy and go to Vegas.

You'll go to some back water and binge yourself on drugs and the local whores. The banks could at least be classy and go to Vegas.

Yeah but the money I spend will help a 3rd world economy develop it is sort of like fair trade but better because i have more fun while doing it.

I'd take the money and run. But I couldn't live with myself if I spent all of it on myself, so I would take the money on the condition that I use some of it to help people.

How did these people withdraw the actual cash? It takes days to get any sort of large sum out - just in the thousands.. Much less millions.. that would take weeks wouldn't it? .. because the bank would have to borrow from other banks .. or get that money from wherever to the bank for them to withdraw. Banks don't sit around on millions of dollars like that any given day.

I don't understand how they were able to get the actual cash without the error being caught in the process. I can understand your account being wrong and you living it up off of that through debit and stuff for a short period.. but going in and withdrawing the actual currency in the millions? Hard to believe.

How did these people withdraw the actual cash? It takes days to get any sort of large sum out - just in the thousands.. Much less millions..
It's in the article.

The pair are thought to have fled to China or South Korea with up to $6 million of their $10 million windfall. Westpac is understood to have recovered $4 million. It is unclear exactly how Leo Gao and Cara Young got the money out of their account and into Korea, but it is likely that they thought taking it out from a cashpoint would attract comment. Once money is transferred into an account there is nothing to stop a customer wiring it to another account anywhere in the world.


BTW, also: They didn't as much flee the country as return home. Both were immigrants of Asian descent. That explains why would they follow such a route - they probably came to New Zealand for money anyway.

I was wanting to know how they got that 6 .. in the first place. It's what I don't understand.

and

"they thought taking it out from a cashpoints.." haha no matter the fact of drawing attn to yourselves.. it wouldn't happen.

Don't go telling me ATMs hold millions. You'll be seeing something on the news about an ATM being ripped off its base by a truck.


Edit: Oh .. I see they never got the actual cash .. it's still just in the computers. Well phooey.

its in my bank account it is mine
So if I leave my wallet at your place accidently, all the money therein now becomes yours?

So if I leave my wallet at your place accidently, all the money therein now becomes yours?

yep and if i return it it is by my good graces.

How did these people withdraw the actual cash? It takes days to get any sort of large sum out - just in the thousands.. Much less millions.. that would take weeks wouldn't it? .. because the bank would have to borrow from other banks .. or get that money from wherever to the bank for them to withdraw. Banks don't sit around on millions of dollars like that any given day.

I don't understand how they were able to get the actual cash without the error being caught in the process. I can understand your account being wrong and you living it up off of that through debit and stuff for a short period.. but going in and withdrawing the actual currency in the millions? Hard to believe.

They had a business so it is easier for them to wire money overseas. They likely had an account over seas to avoid some taxes to begin with. My guess likely made it look like they were paying the other account. Then after the bank withdrew their line of credit they realized the jig was up and fled.

yep and if i return it it is by my good graces.

you are going to get into soooooo much trouble with the police when you're older, young man.

you are going to get into soooooo much trouble with the police when you're older, young man.

Prove that I knew your wallet was in my place. Prove there was money in it.
Prove I took that money and not another one of my guest.

I think...
In the US if you withdraw an accidental deposit the bank can't take it back.
You would think wrong.

http://www.bankrate.com/brm/news/sav/Nov06_bank_errora1.asp
http://articles.moneycentral.msn.com/Banking/BetterBanking/BankErrorInYourFavorYourProblem.aspx
http://www.mymoneyblog.com/archives/2009/01/how-not-to-handle-a-bank-error-in-your-favor.html

Prove that I knew your wallet was in my place. Prove there was money in it.
Prove I took that money and not another one of my guest.
You were the only person there. I have CCTV showing me opening my wallet, displaying several hundred $ within and further footage showing me accidently leaving it at your place.

You would think wrong.

http://www.bankrate.com/brm/news/sav/Nov06_bank_errora1.asp
http://articles.moneycentral.msn.com/Banking/BetterBanking/BankErrorInYourFavorYourProblem.aspx
http://www.mymoneyblog.com/archives/2009/01/how-not-to-handle-a-bank-error-in-your-favor.html

the first example has mixed positive and negative results.

The second one deals with Pay errors which is slightly different.

The third. Well for one the couple thought they could retire off of 175,000. To me that says they are not the sharpest tools in the shed. So I think did something else stupid.

Yeah what I would really do with the money depends on how much it was.
Several million dollars I will transfer it to a savings account(other bank) and if they catch me before I am ready to retire over seas I will return the money but keep the interest.

Anything less then 10,000 I would invest in something and if the bank caught it make arrangements to pay it back in installments. Use it in my head as an interest free loan.

You were the only person there. I have CCTV showing me opening my wallet, displaying several hundred $ within and further footage showing me accidently leaving it at your place.

And i gave you one hell of a back massage for that money.
By the way you forgot your wallet.

And i gave you one hell of a back massage for that money.
By the way you forgot your wallet.
nope. you gave me nothing. I just left my wallet there.
Anyway, this has gotten pedantic and pointless, and you're convoluting things rather than addressing the main issue. You're just making pedantic flibbleflab to attack a metaphoric example. All examples fall down when scrunitised to such persnickety extent, but that does not necessarily mean they fail. Nor does it mean that, by association, the real one fails.
Your hairsplitting don't, in any way, match the real story. To wit, there's no way that anyone else other than the bank a/c holder could have withdrawn that money. And there's no way that they did not know that said money was not theirs.

Much like my wallet example. There's no way that you did not know that the money therein was not yours. Taking it out and keeping it is stealing.
Another example would be a parking valet giving you the wrong car keys; instead of keys for your 10 year-old beat up old jalopy it's keys to a brand new Ferrari Spider Coupe. Sure, they made a mistake in giving you the wrong car keys, but you know it's most definitely not your car. Driving off in it, instead of returing the keys, is stealing, in that same way that withdrawing $6million you know is not yours: it's that simple.

nope. you gave me nothing. I just left my wallet there.
Anyway, this has gotten pedantic and pointless, and you're convoluting things rather than addressing the main issue. You're just making pedantic flibbleflab to attack a metaphoric example. All examples fall down when scrunitised to such persnickety extent, but that does not necessarily mean they fail. Nor does it mean that, by association, the real one fails.
Your hairsplitting don't, in any way, match the real story. To wit, there's no way that anyone else other than the bank a/c holder could have withdrawn that money. And there's no way that they did not know that said money was not theirs.

Much like my wallet example. There's no way that you did not know that the money therein was not yours. Taking it out and keeping it is stealing.
Another example would be a parking valet giving you the wrong car keys; instead of keys for your 10 year-old beat up old jalopy it's keys to a brand new Ferrari Spider Coupe. Sure, they made a mistake in giving you the wrong car keys, but you know it's most definitely not your car. Driving off in it, instead of returing the keys, is stealing, in that same way that withdrawing $6million you know is not yours: it's that simple.

Prove I know it is not mine ?
Maybe I thought that email form Zimbabwe turned out to be true? Or was in the one form Nigeria ?

Me and a lawyer will review all evidence used against me before even begin to explain myself.
Like I said in another post I am not the spend it type of guy. Rather I will put it in another bank and keep the interest. That way if they catch it i can offer to return it and hopefully get to keep the interest of a few years.

Prove I know it is not mine ?
Maybe I thought that email form Zimbabwe turned out to be true? Or was in the one form Nigeria ?

Me and a lawyer will review all evidence used against me before even begin to explain myself.
Like I said in another post I am not the spend it type of guy. Rather I will put it in another bank and keep the interest. That way if they catch it i can offer to return it and hopefully get to keep the interest of a few years.
That sound reasonable or even plausible to you? These people had a failing business and had applied for a $10,000 overdraft in order to keep their business running. They then discover $10,000,000 in their account.
Law is actually mostly common-sense and logic. When the person's only defence is that they thought a Nigerian businessman had deposited the money into their a/c anomynously rather than accept it's a banking error, common sense tells us that they're screwed. Further that they know they're screwed, that they know they stole and desperately trying to come up with some excuse. Especially when said people's first reaction is to take as much of that cash as possible and scarper, it's pretty obvious they knew they were stealing.

Also, you can't profit off ill-gotten gains, so all that interest would have to be paid back.

That sound reasonable or even plausible to you? These people had a failing business and had applied for a $10,000 overdraft in order to keep their business running. They then discover $10,000,000 in their account.
Law is actually mostly common-sense and logic. When the person's only defence is that they thought a Nigerian businessman had deposited the money into their a/c anomynously rather than accept it's a banking error, common sense tells us that they're screwed. Further that they know they're screwed, that they know they stole and desperately trying to come up with some excuse. Especially when said people's first reaction is to take as much of that cash as possible and scarper, it's pretty obvious they knew they were stealing.

And yet people fall for the Nigerian scam everyday. It is part of the issue about proving intent.
In this case the money is a line of credit. The fraud would be in if they had no intention of paying it back. think of it like This I applied for a 1,000 dollar limit credit card, my Bank gave me a 10,000 limit credit card. Does that mean If I use my credit for more then 1,000 dollars I have committed a crime ?

Also, you can't profit off ill-gotten gains, so all that interest would have to be paid back.
If I left it in an account in the same bank most certainly.
If I put the money in another bank (think overseas) it would be a lot more difficult for them to even know where the money was much less how much interest It has earned.
And there is always the leverage your going to press charges and try to have me tossed in jail, fine I simply wont tell you where the money is.

If you can do it in Monopoly...

http://therawfeed.com/pix/bank_error_in_your_favor.jpg

If you can do it in Monopoly...

http://therawfeed.com/pix/bank_error_in_your_favor.jpg

The beauty of the Swiss is they will come help you figure out how to get the money to their bank secretly.

Eh, happened in the US a year or so ago, and they managed to snag the couple right-fast.

Well, in the US, to pay out $10,000,000, it would fill about 10 grocery bags.

EDIT: Assuming all $100 bills, of course.

$10,000,000 in hundreds USD is 220 pounds. I don't think you'd want to put that in grocery bags. :eek:

Eh, happened in the US a year or so ago, and they managed to snag the couple right-fast.

I don't think they were he smartest couple on the block. They thought 175,000 was enough to buy a home and retire in Florida.
You need leverage with the bank namely have the fund somewhere they can't find like a Swiss bank. That way when caught returning the money for them not pressing charges is a reasonable deal. Just don't mention the interest you made while it was in Switzerland and you can come out ahead, depending on how much it cost you to get it to Switzerland and how much it cost to pay a lawyer to talk to the bank.
10 million in a Swiss bank should earn you at least 12,000 dollar a month (at a low interest rate of 1.5%). If the dollar keeps getting weaker (which I suspect it will) you will come out even more ahead.

And yet people fall for the Nigerian scam everyday. It is part of the issue about proving intent.
In this case the money is a line of credit. The fraud would be in if they had no intention of paying it back. think of it like This I applied for a 1,000 dollar limit credit card, my Bank gave me a 10,000 limit credit card. Does that mean If I use my credit for more then 1,000 dollars I have committed a crime ?
It is if they then tell you that they've made a mistake, that you're ineligible for that limit and you rack up a $10,000 bill anyway.
It isn't if the bank has told you that you are eligible for a $10,000 credit limit, not a $1000 limit and would you like that.
It's also partly dependant on what you yourself do. If you find out there's more there than you expect, and don't take due care to find out why, then you will be liable.

This is apples and oranges zone.
You missing the whole point of what's considered reasonable. Opening your credit card statement and finding that your limit has been increased from $1000 to $10000 without your asking for it is one thing.
Checking your bank statement and finding $10,000,000 more in there than it should be is another.
The 1st can have a reasonable explanation. The 2nd can't in any way whatsoever. Acting on either without first finding out why makes you responsible.

For instance, recently my CC limit was increased from ~$6000US to ~$16000US without me asking for it. I rang the bank to find out why and was told that, 'as a valued customer' (ie someone who had used their credit card lots and rarely paid back in full, thus allowing the bank to gouge me for interest) the bank had decided to up my credit limit.
I exercised due care there. If instead I just went out on a spending spree, only to then find out it was a bank error, I would be liable and they could, if they wanted to, take me to court.

It is if they then tell you that they've made a mistake, that you're ineligible for that limit and you rack up a $10,000 bill anyway.
It isn't if the bank has told you that you are eligible for a $10,000 credit limit, not a $1000 limit and would you like that.
It's also partly dependant on what you yourself do. If you find out there's more there than you expect, and don't take due care to find out why, then you will be liable.

This is apples and oranges zone.
You missing the whole point of what's considered reasonable. Opening your credit card statement and finding that your limit has been increased from $1000 to $10000 without your asking for it is one thing.
Checking your bank statement and finding $10,000,000 more in there than it should be is another.
The 1st can have a reasonable explanation. The 2nd can't in any way whatsoever. Acting on either without first finding out why makes you responsible.

For instance, recently my CC limit was increased from ~$6000US to ~$16000US without me asking for it. I rang the bank to find out why and was told that, 'as a valued customer' (ie someone who had used their credit card lots and rarely paid back in full, thus allowing the bank to gouge me for interest) the bank had decided to up my credit limit.
I exercised due care there. If instead I just went out on a spending spree, only to then find out it was a bank error, I would be liable and they could, if they wanted to, take me to court.

I am confused because I am not certain what an overdraft equates to in New Zealand. In the US an overdraft is is a line of credit, you don't use the money, then you don't borrow it. It is tied to your account in case you go over your limit. You can also use it to pay bills(if a business) then repay it as a loan basically its a credit card except tied to your checking account. The whole deposit and recovered thing is throwing me off.
So either a reporter got details wrong or new Zealand has a use of the term over draft separate form the US and UK.

I am confused because I am not certain what an overdraft equates to in New Zealand. In the US an overdraft is is a line of credit, you don't use the money, then you don't borrow it. It is tied to your account in case you go over your limit. You can also use it to pay bills(if a business) then repay it as a loan basically its a credit card except tied to your checking account. The whole deposit and recovered thing is throwing me off.
So either a reporter got details wrong or new Zealand has a use of the term over draft separate form the US and UK.
I think in this case, it's a business overdraft which can then dip into as and when necessary. Reading the articles, it says they had applied to have it extended which is quite normal for businesses to do so at certain times when they have extra expenses but no income coming in til the end of the month.

I assume what happened is that the owner saw that the credit limit was now $10,000,000 and not $100,000 and was able to transfer that credit to an overseas account. Maybe he was able to set it up that the transfers were being reported as outgoing expenses. Possibly there was a limit to how much could be transfered at one time, so he just kept transfering the max allowable each time until the bank noticed. afaik you can use these business credit limits to pay wages and such, which of course would go through his business rather than to another company so maybe he was able to cheat them that way.
When the bank realised what he was doing they stopped it, which is why he 'only' managed to steal $6 mill. The bank was then able to get back another coupla $mill, leaving him with 'just' $3.8mill.

Latest report is that he's scarpered to Hong Kong, so maybe we should ask BarryT to go look for a Chinese guy with a Kiw girl, both looking very tired, very furtive but also very happy.

Hmm.

Probably take it and run like hell.

Take the money and run!
http://www.youtube.com/watch?v=5vxmlHWTS7I