#United States #Los Angeles #Securities Fraud #Investor Rights #Ready Capital

Investors in Ready Capital Corporation (RC) Have Legal Recourse

In a pivotal development, the Law Offices of Frank R. Cruz have announced that investors who have experienced financial losses from Ready Capital Corporation (NYSE: RC) will have the opportunity to lead a class action lawsuit pertaining to alleged securities fraud. This lawsuit is particularly significant for those who invested between November 7, 2024, and March 2, 2025, during which the company is accused of failing to disclose crucial information regarding its financial health.

Overview of the Allegations

The core of the lawsuit revolves around several key allegations. Investors claim that during the specified period, Ready Capital grossly misrepresented the performance of its commercial real estate portfolio. The complaint outlines the following allegations that have raised concerns:
1. Non-performing Loans: It is suggested that Ready Capital knew that many non-performing loans in its commercial real estate (CRE) portfolio were unlikely to be collected. Despite this knowledge, the company continued to operate under the pretense that its financial position was stable.
2. Full Reserves for Problem Loans: The company allegedly planned to fully reserve these problem loans to "stabilize" its CRE portfolio, a move that was done without the necessary disclosures to the investors.
3. Inaccurate Financial Reporting: Defendants are accused of not accurately representing these reserves in their expected credit loss calculations, which led to misleading financial reports.
4. Materially Misleading Statements: Due to these failures to disclose vital information, positive assertions made by Ready Capital regarding its operations and business outlook were found to be materially misleading or unfounded.

What Investors Should Do

Investors who believe they have been impacted by these events are encouraged to participate actively in this class action lawsuit. The deadline for filing as a lead plaintiff is May 5, 2025. Those who wish to provide evidence or join the lawsuit should contact the Law Offices of Frank R. Cruz for further guidance.

How to Get Involved

To join the ongoing action or learn more about your rights, investors can:

• - Email the Law Offices of Frank R. Cruz at email protected]
• - Call them directly at 310-914-5007
• - Visit their official website for additional information: [www.frankcruzlaw.com.

Importance of Class Action Lawsuits

Class action lawsuits allow a group of individuals, in this case, investors, to collectively seek justice versus a large corporation. This format can amplify their voices due to shared experiences and losses, making it more feasible to challenge large entities like Ready Capital.

Conclusion

As the landscape of corporate accountability evolves, this lawsuit represents a significant opportunity for investors to seek the restitution they deserve. By responding promptly and getting involved, affected investors can take a stand against corporate malfeasance. It is crucial that they do not miss the May 5 deadline, as participation could hold the potential for significant financial recovery. For continued updates, interested parties should follow the Law Offices of Frank R. Cruz on their social media accounts and stay informed about how to proceed in these challenging times.