TBBK Investors Have the Opportunity to Lead the Bancorp Securities Fraud Lawsuit with Faruqi & Faruqi, LLP

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against The Bancorp, Inc. due to allegations of securities law violations, with a deadline for investors to seek lead plaintiff status in a class action lawsuit by May 16, 2025 [2][4]. Group 1: Allegations Against The Bancorp - The complaint alleges that The Bancorp and its executives made false or misleading statements regarding the risks associated with its REBL loan portfolio, including underrepresenting the risk of default and inadequately accounting for credit losses [4]. - Specific allegations include material weaknesses in internal controls, lack of independent auditor approval for financial statements, and misleading positive statements about the company's business prospects [4]. - A report from Culper Research claimed that The Bancorp's loan portfolio was filled with high-risk loans and that the company's reserves for potential losses were significantly inadequate, leading to a sharp decline in share price [5][6]. Group 2: Financial Results and Market Reactions - The Bancorp reported a net income of $51.5 million for Q3 2024, but this included a reduction in net income due to increased provisions for credit losses, which negatively impacted share price [7]. - Following the announcement of its financial results, the company's share price fell by$7.95, or 14.47%, indicating market concern over its financial health [7]. - On March 4, 2025, The Bancorp disclosed that its financial statements for the fiscal years 2022 to 2024 should no longer be relied upon, further contributing to a decline in share price [8][9].