Investors Alert: Customers Bancorp Faces Class Action Suit with Key Deadline Approaching

Glancy Prongay & Murray LLP (“GPM”) reminds investors of the January 31, 2025 deadline to file a lead plaintiff motion in the class action lawsuit involving Customers Bancorp, Inc. (“Customers Bancorp” or the “Company”) CUBI. This lawsuit concerns investors who purchased or acquired securities between March 1, 2024, and August 8, 2024 (the “Class Period”).

If you experienced a loss from your Customers Bancorp investments or are interested in pursuing claims under federal securities laws, please visit www.glancylaw.com/cases/Customers-Bancorp-Inc/ to submit your contact information. For more information about your rights, you can also reach out to Charles H. Linehan of GPM at 310-201-9150, toll-free at 888-773-9224, or via email at shareholders@glancylaw.com.

Background on Customers Bancorp’s Recent Challenges

On April 12, 2024, Customers Bancorp announced the termination of its Executive Vice President and Chief Financial Officer, Carla Leibold, “for cause.” However, the company later adjusted this statement, indicating her departure was by mutual agreement, with Ms. Leibold receiving $2.5 million in post-employment compensation.

Following this announcement, Customers Bancorp’s stock fell by $2.40, or 4.9%, closing at $46.62 on April 15, 2024, which negatively affected investors.

The situation worsened on August 8, 2024, when the Federal Reserve Board revealed an enforcement action against Customers Bancorp, stating that the latest inspection uncovered significant risk management and compliance issues regarding anti-money laundering requirements. As a result, the stock price dropped by $7.22, or 13.3%, to close at $47.01 that same day.

Later that evening, Customers Bancorp disclosed a consent order from the Commonwealth of Pennsylvania’s Department of Banking and Securities, highlighting deficiencies that suggested the bank had engaged in unsafe banking practices. Consequently, the stock fell an additional $1.08, or 2.3%, to finish at $45.93 per share on August 9, 2024.

Allegations and Investor Impact

The class action complaint alleges that, during the Class Period, Defendants made materially false and misleading statements, while failing to disclose crucial adverse facts regarding the company’s operations and prospects. It is claimed that Customers Bancorp had inadequate anti-money laundering practices, leading to non-compliance with legal obligations and heightened regulatory risks. Consequently, the positive statements made by Defendants about the firm’s business operations were materially misleading.

How to Participate in the Class Action

If you purchased or acquired Customers Bancorp securities during the Class Period, you may motion the Court no later than January 31, 2025 to request lead plaintiff status in this class action. No immediate action is necessary; you may retain Counsel of your choice or remain an absent member of the class action by taking no action. For further details about this action, please direct inquiries to Charles Linehan, Esquire, of GPM, located at 1925 Century Park East, Suite 2100, Los Angeles, California 90067, by calling 310-201-9150 or toll-free at 888-773-9224, or via email at shareholders@glancylaw.com. Please include your mailing address, phone number, and number of shares purchased in any email correspondence.

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