SAN DIEGO–(BUSINESS WIRE)–The law firm of Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of The Bancorp, Inc. (NASDAQ: TBBK) securities between January 25, 2024 and March 4, 2025, both dates inclusive (the “Class Period”), have until May 16, 2025 to seek appointment as lead plaintiff of The Bancorp class action lawsuit. Captioned Linden v. The Bancorp, Inc., No. 25-cv-00326 (D. Del.), The Bancorp class action lawsuit charges The Bancorp and certain of The Bancorp’s top executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of The Bancorp class action lawsuit, please provide your information here:
https://www.rgrdlaw.com/cases-the-bancorp-inc-class-action-lawsuit-tbbk.html
You can also contact attorneys J.C. Sanchez or Jennifer N. Caringal of Robbins Geller by calling 800/449-4900 or via e-mail at info@rgrdlaw.com.
CASE ALLEGATIONS: The Bancorp operates as the financial holding company for The Bancorp Bank, National Association that provides banking products and services in the United States.
The Bancorp class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) The Bancorp had underrepresented the significant risk of default or loss on its commercial real estate bridge lending (“REBL”) loan portfolio; (ii) The Bancorp’s current expected credit loss methodology was insufficient to account for the provision and/or allowance of credit losses; (iii) as a result, The Bancorp was reasonably likely to increase its provision for credit losses; (iv) there were material weaknesses in The Bancorp’s internal control over financial reporting; (v) The Bancorp’s financial statements had not been approved by its independent auditor; and (vi) consequently, The Bancorp’s financial statements could not be relied upon.
The Bancorp class action lawsuit further alleges that on March 21, 2024, Culper Research issued a report alleging that The Bancorp’s loan book is “rife with unsophisticated syndicated borrowers” who were “coaxed by promises of generational wealth through passive income” with “get rich quick” promises and that though The Bancorp “blindly reassures investors that its book contains ‘no substantial risk of default or loss,’” in reality The Bancorp’s “REBL portfolio faces meaningful risks and will result in meaningful losses.” On this news, the price of The Bancorp stock fell more than 10%, according to the complaint.
Then, on October 24, 2024, The Bancorp class action lawsuit alleges that The Bancorp announced its third quarter 2024 financial results, reporting net income of only $51.5 million and attributing the results, in part, to “a new CECL [current expected credit losses methodology] factor” to The Bancorp’s analysis of REBL loans classified as either special mention or substandard, “which increased the provision for credit losses and resulted in an after-tax reduction in net income of $1.5 million.” On this news, the price of The Bancorp stock fell more than 14%, according to the complaint.
Finally, on March 4, 2025, The Bancorp disclosed that it had “inappropriately filed its Annual Report on Form 10-K for the fiscal year ended December 31, 2024” and the financial statements from 2022 to 2024 should no longer be relied upon, explaining that The Bancorp’s auditors for those years “did not provide approval to include [the] audit opinion . . . or [the] consent to the incorporation by reference of their audit report in certain registration statements,” according to the complaint. The Bancorp class action lawsuit alleges that on this news, the price of The Bancorp stock fell further.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired The Bancorp securities during the Class Period to seek appointment as lead plaintiff in The Bancorp class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing The Bancorp class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate The Bancorp class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of The Bancorp class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities fraud and shareholder litigation. Our Firm has been ranked #1 in the ISS Securities Class Action Services rankings for four out of the last five years for securing the most monetary relief for investors. In 2024, we recovered over $2.5 billion for investors in securities-related class action cases – more than the next five law firms combined, according to ISS. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world, and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:
https://www.rgrdlaw.com/services-litigation-securities-fraud.html
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Contacts
Robbins Geller Rudman & Dowd LLP
J.C. Sanchez, Jennifer N. Caringal
655 W. Broadway, Suite 1900, San Diego, CA 92101
800-449-4900
info@rgrdlaw.com
