Saturday, May 28

US Fed bars six former bankers over COVID grant fraud

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WASHINGTON — The US Federal Reserve on Tuesday said it had barred six former bank executives from Regions Bank and Bank of America Merrill Lynch from the industry for fraudulently obtaining COVID-19 pandemic relief grants.

Under the CARES Act, some small businesses were eligible to receive funds to mitigate the effects of the pandemic. The six individuals obtained funds based on fraudulent representations and used the money for unauthorized personal expenses, the Fed said. (Reporting by Michelle Price)