Western Union said today it will return $400,000 in fees paid by customers it believes were victims of illegal seizures of their money transfers during an investigation into human smuggling.
Arizona Attorney General Terry Goddard seized money transfers worth $500 or more between customers in 29 U.S. states and the Mexican border state of Sonora between October 2004 through 2006.
A court ruled the blanket seizures were illegal and the Illinois Coalition for Immigrant and Refugee Rights has sued Goddard’s office to get $12 million in funds back from 11,000 transactions it argues were not linked to human or drug smuggling.
Western Union, based in Greenwood Village, said it has started sending out letters to more than 12,000 people it believes had funds seized.
Staff writer Aldo Svaldi can be reached at 303-954-1410 or asvaldi@denverpost.com.
