#USA #New York #Pomerantz Law Firm #Ready Capital #RC Class Action

Class Action Lawsuit Filed Against Ready Capital Corporation

On April 22, 2025, Pomerantz LLP, a well-respected law firm in the field of corporate litigation, announced that it has initiated a class action lawsuit against Ready Capital Corporation (NYSE: RC). This comes in light of significant financial losses reported by the Company, drawing serious concerns about potential securities fraud and unlawful business practices engaged by its management.

Who is Affected?

The class action targets investors who have incurred losses on their investments in Ready Capital. Individuals who purchased or acquired Ready securities during the stipulated Class Period are particularly urged to take action. The firm has encouraged affected investors to reach out to Danielle Peyton at the provided contact details or visit their website for more information on joining the lawsuit.

Key Deadlines to Note

Investors interested in being designated as Lead Plaintiff in this case must act swiftly as they have until May 5, 2025, to file their application with the court. This is crucial for those seeking to assert their rights and potentially recover damages stemming from the alleged malpractices.

Financial Turmoil Prompting Litigation

On March 3, 2025, Ready Capital reported dismal financial results, revealing a net loss of $1.80 per share for the fourth quarter of 2024, culminating in an annual loss of $2.52 per share. Such results indicate a worrying downward trend, with the Company revealing it had to reserve $284 million to address non-performing loans within its commercial real estate (CRE) portfolio—a move deemed necessary to stabilize its balance sheet.

In his commentary, Phil Ghosh, the Company’s CEO, attributed the financial difficulties to adverse conditions affecting their loans. He emphasized that these decisive actions were imperative for the future stability of Ready Capital. The response from the market was swift; following the release of these financial results, Ready's stock plummeted by 26.84%, closing at $5.07—indicative of a sharp investor reaction to the grim outlook presented.

Insights on Pomerantz LLP

With a legacy of over 85 years, Pomerantz LLP has solidified its reputation as a leading firm in corporate and securities class action litigation. Founded by industry pioneer Abraham L. Pomerantz, the firm has recovered substantial damages for victims of corporate fraud and misconduct.

Asserting its commitment to advocating for the rights of shareholders, Pomerantz continues to uphold the tradition of fighting against exploitation within corporate practices and ensuring that victims have their grievances addressed in court.

Final Thoughts

This lawsuit provides a pivotal opportunity for investors to reclaim their financial losses and hold corporate executives accountable for their actions. As the deadlines approach, affected shareholders are reminded to take proactive steps to secure their interests in the unfolding legal proceedings against Ready Capital. For more detailed information and to access the Complaint, stakeholders are encouraged to visit Pomerantz LLP’s website.

In conclusion, this situation reflects broader issues within the corporate landscape where transparency and ethical governance become paramount. As investors navigate these turbulent waters, participating in such legal actions may present a viable path toward not only recovering losses but also instigating change in corporate accountability practices.