Woodforest Bank, Wal-Mart Charged over draft fees on account that should have been froze due to theft of my wallet with bank info Internet

I've spent 14 years in the banking industry, and there's a huge puzzle piece missing somewhere here.

First thing that is done is your debit card is cancelled immediately. After that, your checking account would be closed. However, you must go into the branch to file paperwork. If someone stole your info and was writing checks, you should file a  fraud report with the bank, then take it to the police station to be part of another report. If after 2 weeks you never went into the bank to fill out the proper paperwork, the bank has no choice but to keep the account open. Let's say your name is "John Smith." And John, you have a beef with your brother, Fred Smith. One day, Fred calls Woodforest and says "OH MY GOSH! I was robbed, and my debit card was stolen, along with my check book!! Help me!! This is Joh Smith,and I need everything closed immediately."
Don't laugh. People try to do it all more often than you think! So unless you go into a branch with your car insurance bill, car title, lease agreement, whatever.... just something with your name on it, it makes it a little more credible. And those signature cards you sign when you open your account, thats also a great fraud deterrent tool. If your license was stolen, they can still match your signature up with the sig card. So you say you were 800 miles from home? One thing I prach to peopleover and over again is, GET TO KNOW YOUR BRANCH MANAGER!!!Stop in their office, buy them coffee, let them get to know you and your voice. That way, if you're 800 miles from home, you can call them and say "Hey, Mr. Drysdale, it's John Smith. I'm in a pinch, can you help me?"