The Federal Reserve has fined Popular Bank $2.3 million for deficiencies processing six Paycheck Protection Program loans.
The Fed said in a press release that the New York unit of the $70.7 billion-asset Popular processed the PPP loans, totaling $1.1 million, “despite having detected that the loan applications contained significant indications of potential fraud.”
Popular was also cited for failing to report the potential fraud in a timely manner.