Patriot Bank collects $2.8m insurance payout
Patriot Bank collected a $2.8 million payout last week for an insurance claim tied to an unpaid loan made to a bankrupt Stamford developer.
The claim arose from what Patriot officials described as “borrower fraud” involving a $3 million bridge loan made in 2014 by Patriot to Seaboard Realty LLC and affiliates for the construction of properties including a Marriott Residence Inn on Atlantic Street in the city’s downtown. The Residence Inn remains uncompleted.
“We are pleased to bring this arduous recovery effort to a satisfactory conclusion,” Michael Carrazza, Patriot’s chairman and interim CEO, said in a statement. “The result is immediately and materially accretive for Patriot and its shareholders, and this event complements the positive momentum Patriot has been experiencing.”
Read more at the Greenwich Time