#United States #Securities Fraud #Radnor #TBBK #Bancorp

Class Action Lawsuit Filed Against The Bancorp, Inc.

On March 28, 2025, news broke of a significant securities class action lawsuit initiated against The Bancorp, Inc. (NASDAQ: TBBK). The law firm Kessler Topaz Meltzer & Check, LLP announced this suit on behalf of investors who acquired Bancorp securities between January 25, 2024, and March 4, 2025. The urgency surrounding this matter is evident as the deadline to appoint a lead plaintiff is set for May 16, 2025.

Allegations of Misconduct

The core of the lawsuit revolves around allegations that Bancorp's management repeatedly issued misleading statements regarding the financial stability of its operations. Specifically, the complaint suggests the following misconduct:
1. Underreporting Risks: It alleges that Bancorp failed to adequately disclose the risks associated with its real estate bridge loans portfolio, along with the potential for default.
2. Inadequate Credit Loss Methodology: The firm's expected credit loss methodology may not have sufficiently addressed the provision and allowance for credit losses, resulting in potential upticks in their loss provisions.
3. Weaknesses in Financial Reporting: Furthermore, the complaint asserts that Bancorp experienced material weaknesses in its internal controls, which question the reliability of its financial statements.
4. Approval Issues: The allegations extend to the claim that Bancorp's financial statements lacked approval from an independent auditor, thus rendering them unreliable.
5. Misleading Statements: As a consequence of these alleged issues, Bancorp's affirmative statements about its business promised security that did not reflect the reality of its financial situation.

The Importance of The Lead Plaintiff Process

Investors affected by these alleged securities frauds have until May 16, 2025, to either become a lead plaintiff or remain an absent class member. The lead plaintiff acts on behalf of the entire group, providing direction in litigation and working alongside the selected legal counsel. This option is crucial, as it allows the primary investor or small group representing the largest financial interest to guide significant claims that could arise from the situation.

Steps for Interested Investors

For individuals who believe they have incurred losses due to their investment in Bancorp, reaching out to Kessler Topaz Meltzer & Check, LLP is encouraged. Their intent is to provide further information on the lawsuit and guide potential lead plaintiffs through the process. Those interested in participating can explore options by visiting their website or directly contacting attorney Jonathan Naji at the provided phone number or email.

About Kessler Topaz Meltzer & Check, LLP

Kessler Topaz Meltzer & Check, LLP is a well-known law firm that specializes in class action lawsuits across the globe. With a commitment to defending investors and consumers from fraudulent activities, the firm has recovered billions for clients worldwide. They advocate for justice and accountability in corporate environments, striving to expose and rectify misconduct where it exists.

Conclusion

The ongoing situation surrounding The Bancorp, Inc. serves as a reminder for investors to remain vigilant about their investments. As this class action lawsuit unfolds, more findings will emerge regarding the alleged financial discrepancies that resulted in significant losses for investors. This lawsuit not only seeks to hold those responsible accountable but also aims to safeguard the rights and financial security of all impacted parties.
For more details on participation in this class action, visit Kessler Topaz Meltzer & Check.