Badge given when assignment passing grade not reached

Using Moodlecloud (which I believe is running Moodle 4.0)

To replicate:

1. Create an Assignment with a passing grade
2. Set completion to be achieved when the passing grade is met
3. Set a badge to be given when the Assignment is completed
4. As a student: submit the assignment
5. As a teacher: give the assignment a NON-passing grade

Expected behaviour:

The badge will not be given, until the teacher gives a passing grade

Actual behaviour:

The badge is given regardless of whether the passing grade is achieved or not

Relates to https://tracker.moodle.org/browse/MDL-52206