Bancorp Inc (NASDAQ: TBBK) Investor Securities Class Action Lawsuit 07/17/2014

If you purchased shares of Bancorp Inc (NASDAQ: TBBK), you might have certain options and should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Bancorp
Case Name: 
Bancorp Shareholder Class Action Lawsuit 07/17/2014
Case Status: 
Lawsuit Filed
Case Status: 
Settlement Approved
Affected Securities
NASDAQ: TBBK
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
07/17/2014
Class Period Begin: 
01/26/2011
Class Period End: 
06/26/2015
Court of Filing: 
U.S. District Court for the District of Delaware
Deadline To File for Lead: 
09/16/2014
Date Settled: 
08/17/2016
Settlement Amount: 
$17,500,000
Deadline to Participate in Settlement: 
01/13/2017
Settlement Notice: 
Settlement Proof: 
Summary: 

December 16, 2016 - The court approved the settlement and entered the orders approving the plan of allocation, the motion for attorneys’ fees and expenses, and dismissing the action with prejudice.

August 17, 2016 - The court preliminarily approved the settlement.

August 12, 2016 - Parties filed a stipulation of settlement.

November 23, 2015 - Defendants filed a motion to dismiss.

October 26, 2015 - The lead plaintiffs filed an amended consolidated complaint on behalf of investors who purchased Bancorp Inc (NASDAQ: TBBK) common shares between January 26, 2011 and June 26, 2015. The lead plaintiffs allege that the defendants violated the Securities Exchange Act of 1934 by issuing false and misleading statements between January 26, 2011 and June 26, 2015.

March 24, 2015 - Defendants filed a motion to dismiss.

January 23, 2015 - The lead plaintiffs filed an amended consolidated complaint.

October 24, 2014 - Lead plaintiffs and lead counsel were appointed and all cases were consolidated.

September 16, 2014 - Lead plaintiff motions were filed.

July 17, 2014 - An investor in shares of Bancorp Inc (NASDAQ: TBBK) filed a lawsuit in the U.S. District Court for the District of Delaware against Bancorp Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between April 24, 2013 and June 10, 2014.

According to the complaint the plaintiff charges Bancorp Inc (NASDAQ: TBBK) and certain of its officers and directors with violations of the Securities Exchange Act of 1934. The complaint alleges that between April 24, 2013 and June 10, 2014 defendant issued materially false and misleading statements regarding Bancorp Inc's business and financial results.

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 (NASDAQ: TBBK) 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 In., 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 Bank’s Bank Secrecy Act obligations, among them: appoint a qualified Bank’s Bank Secrecy Act /OFAC officer; revise the written Bank’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 Bank’s Bank Secrecy Act activities; establish an independent testing program and develop policies and procedures to govern staffing and training for Bank’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.