HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Encourages Sterling Bancorp, Inc. (SBT) Investors Who Have Suffered Losses of $150K+ to Contact Its Attorneys, Securities Fraud Class Action Filed
/EIN News/ -- SAN FRANCISCO, Feb. 28, 2020 (GLOBE NEWSWIRE) -- Hagens Berman urges Sterling Bancorp, Inc. (NASDAQ: SBT) investors who have suffered losses in excess of $150,000 to submit their losses now to learn if they qualify to recover compensable damages. A securities class action was recently filed against Sterling, and important investor deadlines have been established.
Class Period: Nov. 14, 2017 – Dec. 8, 2019
Lead Plaintiff Deadline: Apr. 27, 2020
Sign Up: www.hbsslaw.com/investor-fraud/SBT
Contact An Attorney Now: SBT@hbsslaw.com
844-916-0895
Sterling Bancorp, Inc. (SBT) Securities Class Action
According to the complaint, Defendants misrepresented Sterling’s loan underwriting, risk management and internal controls, including falsely touting its strict underwriting, asset quality and Advantage Loan Program (Sterling’s largest lending product). In truth, Sterling lacked effective controls, policies and procedures over its lending practices. As a result, the Company was systemically violating its stated underwriting and documentation procedures as well as various banking laws and regulations.
The truth began to emerge on June 21, 2019, when the Company disclosed that it had entered into a formal agreement with the OCC to enhance its procedures and ensure compliance with anti-money laundering and Bank Secrecy Act laws and regulations. The Company also announced the immediate resignation of Director Jon Fox, who had served on the Audit and Risk Management Committee.
Then, on Dec. 9, 2019, Sterling stunned investors when it announced the suspension of the Advantage Loan Program. The Company disclosed that it had engaged in an internal review of the Program’s documentation procedures, which revealed that it needed to “put in place additional systems and controls to ensure the Bank’s policies and procedures are followed on loans originated under the program.”
Finally, on Jan. 29, 2020 CEO Thomas Lopp admitted that, as a result of the suspension of the Advantage Loan Program, “we expect our near-term total loan production to be below historical levels and adversely impact our portfolio loan growth rates.”
“We’re focused on recovering investors’ losses and proving Sterling misled investors about its loan underwriting procedures,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
Whistleblowers: Persons with non-public information regarding Sterling should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email SBT@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national law firm with nine offices in eight cities around the country and eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Contact:
Reed Kathrein, 844-916-0895
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