Parke Bancorp in Washington Township, N.J., reported a sharp drop in quarterly profit after recognizing a $9.5 million hit tied to cash that went missing from an armored car earlier this year.
The $2 billion-asset company said in a press release that third-quarter earnings fell 90% from a year earlier, to $1 million. The decision to recognize a loss from the missing money followed a report from an outside forensic accountant confirming the loss.
Parke had disclosed in January that the money was being transported for one of its cannabis-related clients. An armored car company used by Parke reported the money missing.
“We contracted with an outside accounting firm to provide forensic accounting services to confirm the amount stolen,” Vito Pantilione, Parke’s president and CEO, said in the release.
“The final report also provides us with the necessary documentation to pursue possible sources for recovery, including insurance policies,” he added. “We are aggressively pursuing these sources and will book any recovery when received.”