Investigation Launched into The Bancorp's Securities Practices: What Investors Need to Know

Investor Alert: Faruqi & Faruqi, LLP Investigates The Bancorp

In recent developments, prominent securities law firm Faruqi & Faruqi, LLP has announced an investigation concerning potential claims against The Bancorp, Inc. (ticker symbol: TBBK). This inquiry arises for investors who acquired securities between January 25, 2024, and March 4, 2025. Given the complex nature of securities litigation, the firm reminds potential claimants of an important upcoming deadline. Investors wishing to assume the role of lead plaintiff in a federal securities class action will need to act by May 16, 2025.

The investigation stems from alarming allegations brought to light in a report by Culper Research, which highlighted serious deficiencies in The Bancorp’s reporting practices and risk assessments involved with its real estate bridge loans (REBLs). According to the report, which surfaced on March 21, 2024, The Bancorp reportedly downplayed the substantial risks of default or losses within its REBL portfolio, a claim that raises red flags for existing and potential investors.

Allegations Against The Bancorp

Faruqi & Faruqi's investigation touches upon multiple facets of corporate governance and transparency. The firm outlines serious implications regarding the company's overall financial health and credibility based on several key allegations:

1. Misrepresentation of Risks: The Bancorp failed to appropriately disclose the risk factors associated with its REBL portfolio, which the analysts labeled as rife with