secwatch.observer — SEC 8-K summary
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Issuer:     Metropolitan Bank Holding Corp. (MCB)
CIK:        0001476034
Form:       8-K
Filed at:   2023-10-19T23:59:59+00:00
Accession:  0001104659-23-110104
Event type: regulatory
Sentiment:  negative
Materiality: 0.60
Item codes: 8.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

MCB settles with Fed and NYDFS over prepaid debit card; $29.5M penalties fully reserved
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- FRB consent order imposes $14.48M civil money penalty; requires board oversight, customer ID, due diligence, and third-party risk plans.
- NYSDFS consent order imposes $15M penalty; requires information and status reports on third-party program manager supervision.
- Investigations stem from unauthorized COVID benefits payments on prepaid card program; relationship ended August 2020.
- Company is fully reserved for penalties through regulatory settlement reserve disclosed in prior periods.
- Additional enforcement actions could have a materially adverse effect; Bank continues to enhance processes since 2020.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1476034/000110465923110104/0001104659-23-110104-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1476034/000110465923110104/tm2328785d1_8k.htm
  HTML page:      https://secwatch.observer/filing/0001104659-23-110104

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