I am an ex-FE and have confirmed this issue in our lab. When you enable FIPS-140-2, the MFD will no longer recognize SFTP as a valid protocol. It will continue to FTP. If you disable FIPS-140-2, and reboot it will once again successfully SFTP a scan file. The problem is being observed on 7535, 7835, 5755, and 5855 at Boeing.
I have written logs against three different models of machines:
7535 is log 269011565
7835 is 193820495
5755 is 907030867
The logs show me as the caller and Darrell Indovino as the originator (I no longer have access to ICSS so I borrowed his computer)
This issue needs to be escalated as soon as possible. This will likely become a SPAR.