Cases
Banc of California, Inc. (BANC)
Securities Class Action
Overview
Overview
- Date:
- 1/25/2017
- Company Name:
- Banc of California, Inc.
- Stock Symbol:
- BANC
- Class Period:
- FROM 8/7/2015 TO 1/20/2017
- Status:
- Closed/Complete
- Court:
- U.S. District Court: Central California
NEW YORK, January 25, 2017 – Bragar Eagel & Squire, P.C. announces that a class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of all persons or entities who acquired Banc of California, Inc. (NYSE: BANC) securities between October 29, 2015 and January 20, 2017 (the “Class Period”).
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements as well as failed to disclose material, adverse facts about the Company’s business, operations, and prospects, including that the Company had extensive ties to an alleged “fraudster” named Jason Galanis (“Galanis”) and that these connections could create substantial regulatory risk and jeopardize the market price of the Company’s stock. As a result of the foregoing, Defendants’ positive statements about Banc of California’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis throughout the Class Period.
On October 18, 2016, an article published on Seeking Alpha alleged that Banc of California had concealed numerous connections between it and Galanis, who has been convicted of criminal securities fraud. The article found that: (1) Banc of California CEO Steven Sugarman (“Sugarman”) was the indirect owner of Valor Group, a company involved in Galanis’s convicted fraud; and (2) separately, Galanis controlled COR Capital, a company of which Sugarman is the founder and CEO. The Seeking Alpha article also alleged that Banc of California had used an off-balance sheet entity to make loans to insiders. Following this news, Banc of California shares declined $4.61, or 29.05%, per share to close at $11.26 on October 18, 2016.
On January 23, 2017, Banc of California announced the resignation of Sugarman and that the SEC had opened an investigation into whether the Company had misled investors in its response to the Seeking Alpha report. Following this news, Banc of California shares declined $1.50, or 9.29%, per share to close at $14.65 on January 23, 2017.
If you purchased or otherwise acquired Banc of California securities during the Class Period and suffered a loss or continue to hold shares purchased prior to the Class Period, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Melissa A. Fortunato, Esq. by email at investigations@bespc.com, or telephone at (212) 355-4648, or by filling out the contact form below. There is no cost or obligation to you.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements as well as failed to disclose material, adverse facts about the Company’s business, operations, and prospects, including that the Company had extensive ties to an alleged “fraudster” named Jason Galanis (“Galanis”) and that these connections could create substantial regulatory risk and jeopardize the market price of the Company’s stock. As a result of the foregoing, Defendants’ positive statements about Banc of California’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis throughout the Class Period.
On October 18, 2016, an article published on Seeking Alpha alleged that Banc of California had concealed numerous connections between it and Galanis, who has been convicted of criminal securities fraud. The article found that: (1) Banc of California CEO Steven Sugarman (“Sugarman”) was the indirect owner of Valor Group, a company involved in Galanis’s convicted fraud; and (2) separately, Galanis controlled COR Capital, a company of which Sugarman is the founder and CEO. The Seeking Alpha article also alleged that Banc of California had used an off-balance sheet entity to make loans to insiders. Following this news, Banc of California shares declined $4.61, or 29.05%, per share to close at $11.26 on October 18, 2016.
On January 23, 2017, Banc of California announced the resignation of Sugarman and that the SEC had opened an investigation into whether the Company had misled investors in its response to the Seeking Alpha report. Following this news, Banc of California shares declined $1.50, or 9.29%, per share to close at $14.65 on January 23, 2017.
If you purchased or otherwise acquired Banc of California securities during the Class Period and suffered a loss or continue to hold shares purchased prior to the Class Period, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Melissa A. Fortunato, Esq. by email at investigations@bespc.com, or telephone at (212) 355-4648, or by filling out the contact form below. There is no cost or obligation to you.