SUBSEQUENT EVENTS	9 Months Ended
Mar. 31, 2020
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	12.SUBSEQUENT EVENTS Potentially Fraudulent Activity As previously disclosed, during the first fiscal quarter of 2020, the Company became aware of potentially fraudulent activity associated with transactions conducted in the Company’s first fiscal quarter of 2020 by an established business customer of the Bank. The Mann Entities had numerous accounts with the Bank. The transactions in question relate to both deposit and lending activity with the Mann Entities. Several other parties are asserting claims against the Company and the Bank related to the series of transactions between the Company or the Bank, on the one hand, and the Mann Entities, on the other. The Company and the Bank continue to investigate these matters and it is possible that the Company and the Bank will be subject to additional liabilities which may have a material adverse effect on our financial condition, results of operations or cash flows. The Company is pursuing all available sources of recovery and other means of mitigating the potential loss, and the Company and the Bank are vigorously defending all claims asserted against them arising out of or otherwise related to the fraudulent activity of the Mann Entities. For the other parties asserting claims against the Company and the Bank, in the second fiscal quarter of 2020, Southwestern, a payroll company, and NatPay, a third-party automated clearing house service provider, filed lawsuits against the Bank seeking recovery of allegedly wrongful seizure and retention of funds related to the Mann Entities. In February 2020, Berkshire Bank and Chemung, the participating lenders with the Bank in the Mann Entities commercial loan relationships, filed lawsuits against the Bank seeking recovery of their respective aggregate participation interest and additional damages. In April 2020, the U.S. Department of Justice, with the authorizations of a delegate of the Secretary of the Treasury, filed a civil complaint alleging that the Company and the Bank wrongfully seized funds comprised of withheld payroll taxes to apply towards debts allegedly owed to the Bank by Cloud Payroll and other affiliates of Michael Mann. See “Note 8 – Commitments and Contingent Liabilities” for additional information regarding these legal proceedings.

12.SUBSEQUENT EVENTS

Potentially Fraudulent Activity

As previously disclosed, during the first fiscal quarter of 2020, the Company became aware of potentially fraudulent activity associated with transactions conducted in the Company’s first fiscal quarter of 2020 by an established business customer of the Bank. The Mann Entities had numerous accounts with the Bank. The transactions in question relate to both deposit and lending activity with the Mann Entities. Several other parties are asserting claims against the Company and the Bank related to the series of transactions between the Company or the Bank, on the one hand, and the Mann Entities, on the other. The Company and the Bank continue to investigate these matters and it is possible that the Company and the Bank will be subject to additional liabilities which may have a material adverse effect on our financial condition, results of operations or cash flows. The Company is pursuing all available sources of recovery and other means of mitigating the potential loss, and the Company and the Bank are vigorously defending all claims asserted against them arising out of or otherwise related to the fraudulent activity of the Mann Entities.

For the other parties asserting claims against the Company and the Bank, in the second fiscal quarter of 2020, Southwestern, a payroll company, and NatPay, a third-party automated clearing house service provider, filed lawsuits against the Bank seeking recovery of allegedly wrongful seizure and retention of funds related to the Mann Entities. In February 2020, Berkshire Bank and Chemung, the participating lenders with the Bank in the Mann Entities commercial loan relationships, filed lawsuits against the Bank seeking recovery of their respective aggregate participation interest and additional damages. In April 2020, the U.S. Department of Justice, with the authorizations of a delegate of the Secretary of the Treasury, filed a civil complaint alleging that the Company and the Bank wrongfully seized funds comprised of withheld payroll taxes to apply towards debts allegedly owed to the Bank by Cloud Payroll and other affiliates of Michael Mann. See “Note 8 – Commitments and Contingent Liabilities” for additional information regarding these legal proceedings.