Berger Montague Reminds Customers Bancorp (CUBI) Investors With Substantial Losses to Inquire About a Securities Fraud Class Action by January 31, 2025

Nationally recognized law firm Berger Montague PC has informed investors about a lawsuit filed against CUSTOMERS BANCORP, INC. (“Customers Bancorp” or “the Company”) on behalf of purchasers of CUSTOMERS BANCORP securities between March 1, 2024, and August 8, 2024, inclusive (the “Class Period”).

Investors who incurred losses from CUSTOMERS BANCORP investments during this period may seek to be appointed as lead plaintiff representatives of the class by no later than January 31, 2025.

Based in West Reading, PA, Customers Bancorp is a prominent bank holding company.

On April 12, 2024, the Company announced that its Chief Financial Officer, Carla A. Leibold, had been terminated for “cause” due to violations of company policy. Following this news, Customers Bancorp stock experienced a decline of $2.40 per share, a nearly 5% drop from a closing price of $49.02 on April 12, to $46.62 per share by April 15, 2024.

Further developments arose on August 8, 2024, when the Federal Reserve announced an enforcement action against Customers Bancorp, stating that it had identified significant deficiencies in the bank’s risk management practices, particularly concerning anti-money laundering regulations, including the Bank Secrecy Act.

This revelation caused Customers Bancorp stock to plummet by $7.22 per share, over 13%, moving from a closing price of $54.23 per share on August 7 to a mere $47.01 per share on August 8, 2024.

Following the Federal Reserve’s announcement, Customers Bancorp disclosed an additional consent order from the Commonwealth of Pennsylvania’s Department of Banking and Securities. This order indicated that the identified deficiencies raised concerns about the bank’s compliance with safe banking practices related to AML regulations.

A lead plaintiff serves as a representative party for all class members, guiding the litigation on behalf of the group. Typically, the lead plaintiff is the investor or group of investors with the largest financial stake in the case, while also being representative of the broader class of investors affected. The lead plaintiff has the authority to select legal counsel to represent both themselves and the class, pending court approval.

Importantly, whether or not an individual decides to serve as a lead plaintiff will not impact their eligibility to share in any potential recovery obtained through this litigation. Any member of the proposed class may approach the court to take on the role of lead plaintiff through legal counsel of their choice, but they may also opt to remain an inactive class member.

Since its founding in 1970, Berger Montague has been at the forefront of securities class action litigation, with offices across Philadelphia, Minneapolis, Delaware, Washington, D.C., San Diego, San Francisco, and Chicago. The firm has a legacy of advocating for individual and institutional investors in courts throughout the United States for over fifty years.