Shareholders Foundation, Inc.

Deadline Upcoming in $7 Million Settlement in the Doral Financial Corporation (NYSE:DRL) Investor Lawsuit

A settlement was reached with the defendants in the lawsuit filed on behalf of certain investors of Doral Financial Corporation (NYSE:DRL) over alleged securities laws violations and a deadline to submit the settlement claim is upcoming on August 29, 2016 and NYSE:DRL investors should contact the Shareholders Foundation.

 

San Diego, CA -- (SBWIRE) -- 08/18/2016 -- The Shareholders Foundation announced that a deadline is coming up on August 29, 2016 in the settlement reached in the securities class action lawsuit filed on behalf of investors who purchased shares of Doral Financial Corporation (NYSE:DRL) between April 2, 2012 and May 1, 2014.

Investors who purchased a significant amount of shares of Doral Financial Corporation (NYSE:DRL) between April 2, 2012 and May 1, 2014, have certain options and should contact the Shareholders Foundation by email at mail@shareholdersfoundation.com or call 858-779-1554.

The settlement proof of claim form or detailed settlement notice for the settlement in the Doral Financial Corporation (NYSE:DRL) Investor Securities Class Action Lawsuit can be downloaded at: http://shareholdersfoundation.com/case/doral-financial-corporation-nyse-drl-investor-securities-class-action-lawsuit-05132014

In order to submit a claim an investor has to submit the claim proof to the class action claim administrator in a timely manner. The deadline to submit the proof with the class administrator is August 29, 2016. The class action administrator for this case is Garden City Group.

The lawsuit was originally filed in the U.S. District Court for the District of Puerto Rico against Doral Financial Corporation over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between April 2, 2012 and May 1, 2014. According to the complaint the plaintiff alleges on behalf of all persons or entities who purchased or otherwise acquired securities of Doral Financial Corporation (NYSE: DRL) between April 2, 2012 and May 1, 2014, that the defendants violated Federal Securities Laws pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.

More specifically, the plaintiff claims that between April 2, 2012 and May 1, 2014, defendants issued allegedly materially false and misleading statements regarding Doral Financial Corporation's financial performance and future prospects and failed to disclose adverse facts, including that Doral Financial Corporation had a material weakness in its internal controls over financial reporting and disclosure controls, and that such controls were ineffective, that Doral Financial Corporation had under-reserved for loan losses, that as a result of having under-reserved for loan losses, the Company's assets were overstated, its expenses were understated, its net income was overstated, and Doral Bank did not meet its Tier I regulatory capital requirements as stated between April 2, 2012 and May 1, 2014 and as required by bank regulators to operate the bank and that as a result of the foregoing, defendants knew Doral Bank was undercapitalized and Doral Financial Corporation was not on track to achieve the financial results they had led the market to expect during April 2, 2012 and May 1, 2014.

Those who purchased shares of Doral Financial Corporation (NYSE:DRL) have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com