San Diego, CA -- (SBWIRE) -- 07/28/2014 -- An investor, who purchased shares of Bancorp Inc (NASDAQ:TBBK), filed a lawsuit in the U.S. District Court for the District of Delaware over alleged violations of Federal Securities Laws by Bancorp Inc in connection with certain allegedly false and misleading statements made between April 24, 2013 and June 10, 2014.
Investors who purchased shares Bancorp Inc (NASDAQ:TBBK) have certain options and for certain investors are short and strict deadlines running. Deadline: September 16, 2014. NASDAQ:TBBK investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
According to the complaint the plaintiff alleges on behalf of purchasers of Bancorp Inc (NASDAQ:TBBK) common shares between April 24, 2013 and June 10, 2014, that the defendants violated Federal Securities Laws.
More specifically, the plaintiff claims that Defendants made allegedly false and/or misleading statements and/or failed to disclose that Bancorp Inc had under-reserved for loan losses due to adverse loans, that Bancorp Inc’s operations and credit practices were in violation of the Bank Secrecy Act ("BSA"), and that as a result of the above, Bancorp Inc’s financial statements were materially false and misleading at all relevant times.
Bancorp Inc reported that its annual Net Income rose from $5.22 million in 2010 to $25.11 million in 2013. Shares of Bancorp Inc (NASDAQ:TBBK) grew from $51.0 per share in October 2009 to as high as $19.98 per share in March 2014.
On April 23, 2014, Bancorp Inc announced financial results for the first quarter of 2014, reporting that net income for the period decreased to $298,000, or fully diluted earnings per share of $.01, compared to net income of $7.4 million or $.20 per diluted share for the comparable period in 2013. According to Bancorp Inc's Chief Executive Officer, the quarter was significantly impacted by an additional loan loss provision of $11.8 million principally related to "newly identified adversely classified loans".Shares of Bancorp Inc fell $2.76, or over 15%, to close at $15.84 on April 24, 2014.
Then on June 10, 2014, Bancorp Inc disclosed that The Bancorp Bank (the “Bank”), a wholly owned subsidiary of The Bancorp, Inc., entered into a Stipulation and Consent to the Issuance of a Consent Order (the “Order”) with the Federal Deposit Insurance Corporation (the “FDIC”)
Bancorp Inc said that the Order requires Bancorp Inc to take certain affirmative actions to comply with its ank’s Bank Secrecy Act obligations, among them: appoint a qualified ank’s Bank Secrecy Act /OFAC officer; revise the written ank’s Bank Secrecy Act Compliance Program; develop and implement additional policies and procedures for suspicious activity monitoring and reporting; review and enhance customer due diligence and risk assessment processes; review past account activity to determine whether suspicious activity was properly identified and reported; strengthen internal controls, including augmenting Board oversight regarding ank’s Bank Secrecy Act activities; establish an independent testing program and develop policies and procedures to govern staffing and training for ank’s Bank Secrecy Act compliance. Shares of Bancorp Inc (NASDAQ:TBBK) dropped from $16.21 per share on June 10, 2014, to $10.21 per share on June 11, 2014 and continued to decline to as low as $9.25 per share on July 25, 2014.
Those who purchased shares of Bancorp Inc (NASDAQ:TBBK) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego