Class Action Lawsuit Filed Against Customers Bancorp, Inc. Over Losses in Investment Matters
In recent developments concerning the banking sector, Pomerantz LLP, a well-established law firm recognized for its expertise in securities litigation, has announced the filing of a class action lawsuit against Customers Bancorp, Inc. (NYSE: CUBI). This lawsuit addresses significant concerns regarding alleged securities fraud and the unlawful business practices purportedly engaged in by the company and its senior leadership. Shareholders of Customers Bancorp who believe they have incurred losses as a result of these actions are being urged to come forward and join the class action.
According to the announcement from Pomerantz LLP, affected investors have until January 31, 2025, to express their intent to become Lead Plaintiffs in the case. Interested persons are encouraged to contact Danielle Peyton at the law firm, providing their contact information, number of shares owned, and other relevant details for streamlined processing.
The basis for the class action lies within a string of troubling disclosures from Customers Bancorp. Notably, in an SEC filing on April 12, 2024, the company's Chief Financial Officer, Carla A. Leibold, was dismissed for 'cause', with the company citing policy violations. However, Leibold contested the characterization of her termination. Following this announcement, Customers Bancorp's stock price suffered a decline of approximately 4.89%, reflecting market reaction to the negative news.
Further compounding the issues, a press release from the Federal Reserve, dated August 24, 2024, revealed findings of significant deficiencies in the bank's risk management practices. This came with a written agreement highlighting failures in compliance, particularly concerning anti-money laundering regulations. This disclosure led to a significant drop in the company's stock price by 13.31%. Such regulatory scrutiny suggests deeper systemic issues within the operations of Customers Bancorp.
Moreover, another disturbing report from August 8, 2024—after market hours—detailed a consent order from the Commonwealth of Pennsylvania's Department of Banking and Securities. This order flagged compliance issues regarding risk management related to digital services and anti-money laundering requirements. The ensuing market reaction saw shares drop another 2.3%, indicating investor concerns about the viability and governance practices of Customers Bancorp.
Pomerantz LLP, known for its long-standing history in corporate class actions, is committed to protecting the rights of investors impacted by these alleged misconducts. Founded more than 85 years ago, the firm has earned recognition for recovering substantial damages on behalf of class members impacted by securities fraud and other corporate unlawful activities. Their mission continues to be providing a voice to victims of corporate wrongdoing.
For interested investors in the Customers Bancorp class action, a copy of the complaint and further information is available at the Pomerantz law firm's official website. Investors are reminded to act swiftly as time is of the essence in this legal pursuit.
This legal situation serves as a critical reminder of the responsibilities that public companies have towards their shareholders and the serious repercussions faced when they are alleged to have acted against those interests. As this case unfolds, the implications for both Customers Bancorp and its shareholders will undoubtedly be closely monitored, providing vital lessons for both investors and the corporate sector alike.
According to the announcement from Pomerantz LLP, affected investors have until January 31, 2025, to express their intent to become Lead Plaintiffs in the case. Interested persons are encouraged to contact Danielle Peyton at the law firm, providing their contact information, number of shares owned, and other relevant details for streamlined processing.
The basis for the class action lies within a string of troubling disclosures from Customers Bancorp. Notably, in an SEC filing on April 12, 2024, the company's Chief Financial Officer, Carla A. Leibold, was dismissed for 'cause', with the company citing policy violations. However, Leibold contested the characterization of her termination. Following this announcement, Customers Bancorp's stock price suffered a decline of approximately 4.89%, reflecting market reaction to the negative news.
Further compounding the issues, a press release from the Federal Reserve, dated August 24, 2024, revealed findings of significant deficiencies in the bank's risk management practices. This came with a written agreement highlighting failures in compliance, particularly concerning anti-money laundering regulations. This disclosure led to a significant drop in the company's stock price by 13.31%. Such regulatory scrutiny suggests deeper systemic issues within the operations of Customers Bancorp.
Moreover, another disturbing report from August 8, 2024—after market hours—detailed a consent order from the Commonwealth of Pennsylvania's Department of Banking and Securities. This order flagged compliance issues regarding risk management related to digital services and anti-money laundering requirements. The ensuing market reaction saw shares drop another 2.3%, indicating investor concerns about the viability and governance practices of Customers Bancorp.
Pomerantz LLP, known for its long-standing history in corporate class actions, is committed to protecting the rights of investors impacted by these alleged misconducts. Founded more than 85 years ago, the firm has earned recognition for recovering substantial damages on behalf of class members impacted by securities fraud and other corporate unlawful activities. Their mission continues to be providing a voice to victims of corporate wrongdoing.
For interested investors in the Customers Bancorp class action, a copy of the complaint and further information is available at the Pomerantz law firm's official website. Investors are reminded to act swiftly as time is of the essence in this legal pursuit.
This legal situation serves as a critical reminder of the responsibilities that public companies have towards their shareholders and the serious repercussions faced when they are alleged to have acted against those interests. As this case unfolds, the implications for both Customers Bancorp and its shareholders will undoubtedly be closely monitored, providing vital lessons for both investors and the corporate sector alike.
Topics Financial Services & Investing）
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