Bridge in N.Y. to take 3Q hit after alleged customer fraud
Alleged fraud by a commercial client will put a dent in the quarterly profit at Bridge Bancorp in Bridgehampton, N.Y.
The $4.4 billion-asset company disclosed in a regulatory filing Monday that it expects to incur a pretax charge of $8 million to $9.5 million in the third quarter tied to potential fraud tied to the unnamed client's deposit accounts.
Bridge said it is working with law enforcement authorities to address the matter. The customer has filed for bankruptcy protection.
Bridge also notified its insurance carrier, though the extent and amount of coverage is unclear.
Bridge said that its earnings should still exceed Wall Street estimates and that it has enough capital to absorb the charge.