Harrisburg social services agency brings lawsuit against Mid Penn Bank

The Center for Independent Living of Central PA (CILCP) announced Monday that it filed a complaint against Mid Penn Bank for allegedly breaching their contract and acting in bad faith. 

Filed in Harrisburg last Friday, the lawsuit seeks to hold Mid Penn Bank accountable for its actions, or lack of actions, and to obtain compensation for the damages CILCP endured. 

Based in Harrisburg, CILCP is a non-profit social services agency that aids people with disabilities, CILCP charges that for more than 10 years Mid Penn Bank allowed ACH withdrawals to occur in excess of $249,000 from an account that had no prior record of ACH transactions. 

In a statement to the Central Penn Business Journal, the bank said it values its relationship with the nonprofit.

“We have always valued our relationship with The Center for Independent Living of Central PA (CILCP). While Mid Penn Bank cannot comment on pending litigation, we take the security of our customers seriously and will respond appropriately in court.”

CILCP states that Mid Penn Bank did not attempt to resolve, investigate, or assist CILCP in recovering the funds, and that Mid Penn Bank’s security procedures did not protect CILCP. 

“It is unprofessional and disappointing that a bank, who holds all the company’s funds, says they are sorry for your almost $250,000 loss, but there is nothing they can do to help get the money back,” CILCP CEO Janetta W. Green said in a statement. 

“As a small non-profit, we depend on our banks to protect our money and when the bank’s security measures fail, the bank should be held accountable.” 

The lawsuit looks to obtain compensation for the damages suffered by CILCP because of Mid Penn Bank’s actions. It also seeks to hold Mid Penn Bank responsible for its alleged lack of effective security procedures. 

Mid Penn Bank has headquarters in Millersburg and mid-state locations in Berks, Cumberland, Dauphin, Lancaster, and Lehigh counties.

The story has been updated to include a comment from Mid Penn Bank.