TBBK FRAUD ALERT: The Bancorp, Inc. 28% Stock Drop Triggers Class Action Lawsuit for Fraud – Investors are Notified to Contact BFA Law before May 16 (NASDAQ:TBBK)

Core Viewpoint - A lawsuit has been filed against The Bancorp, Inc. and certain senior executives for potential violations of federal securities laws, specifically related to misrepresentations regarding the company's loan portfolio and internal controls [1][2][4]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the District of Delaware, captioned Linden v. The Bancorp, Inc., et al., No. 25-cv-00326, with investors having until May 16, 2025, to seek lead plaintiff status [2]. - The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Bancorp stock [2]. Group 2: Company Background - Bancorp is a financial holding company involved in institutional banking, commercial real estate bridge lending, small business lending, and commercial fleet leasing, with its REBL loans primarily collateralized by apartment buildings [3]. Group 3: Allegations of Misrepresentation - The complaint alleges that Bancorp misrepresented the risks associated with its REBL loan portfolio and that its credit loss methodology was inadequate, failing to account for potential credit losses [4]. - It is claimed that Bancorp misrepresented the effectiveness of its internal controls over financial reporting, which contained at least one material weakness [4]. Group 4: Stock Performance and Market Reaction - Following a report from Culper Research on March 21, 2024, which highlighted the risks of default in Bancorp's REBL loans, the stock price fell over 10%, from $36.04 to$32.12 [5]. - On October 24, 2024, Bancorp reported a net income of $51.5 million, leading to a 14$54.96 to $47.01 due to increased credit losses [6]. - On March 4, 2025, Bancorp disclosed issues with its Annual Report for the fiscal year ended December 31, 2024, causing a 4.4$53.59 to $51.25 [7].