Shareholder rights law firm Johnson & Weaver, LLP reminds investors that
they have until July 14, 2014 to file for lead plaintiff in a
securities class action lawsuit against Doral Financial Corporation
(NYSE: DRL), if they purchased the Company's common stock during the
period between April 2, 2012 and May 1, 2014 (the "Class Period"). The
case is pending in the United States District Court for the District of
Additional Information about the Lawsuit:
Doral and certain of its executives are charged with issuing a series of
materially false and misleading statements during the Class Period,
violating federal securities laws.
On March 21, 2013, Doral issued a press release and filed its annual
financial report on Form 10-K for the period ended December 31, 2013,
disclosing that the Company had been forced to take an increased
provision for loan and lease losses in the fourth quarter of 2013, and
as a result, the Company was reporting a net loss for its 2013 fourth
quarter. In addition, the Company stated that it would be forced to
restate its previously reported financial statements. On this news, the
price of Doral common stock declined. Then on May 1, 2014, after the
close of trading, the Company filed a Current Report on Form 8-K with
the SEC disclosing that the Puerto Rican government was disputing
whethera purported tax receivable due Doral, which accounted for $289
million of the bank's $679 million of so-called Tier 1 capital as of the
end of fiscal 2013, was indeed payable, and that the U.S. Federal
Deposit Insurance Corporation ("FDIC") had advised Doral that it could
not include the tax receivable in its Tier 1 capital ratio, rendering
the bank significantly undercapitalized. Doral further disclosed that
the FDIC had ordered Doral to revise its capital plan, which it stated
could force the Company to sell assets. On this news, the price of Doral
common stock, which had traded as high as $25 per share in intraday
trading during the Class Period, fell approximately 85% from its Class
Period high to close at $3.73 per share on May 2, 2014.
Plaintiff seeks to recover damages on behalf of all purchasers of Doral
publicly traded securities during the Class Period. If you wish to serve
as a lead plaintiff, you must move the Court no later than July 14,
2014. If you wish to discuss this action, have any questions
concerning this notice, or your rights or interests, please contact lead
analyst Jim Baker (firstname.lastname@example.org)
at 619-814-4471. If you email, please include your phone number.
More information concerning this action is also available at www.johnsonandweaver.com.
Any member of the putative class may move the Court to serve as lead
plaintiff through counsel of their choice, or may choose to do nothing
and remain an absent class member.
Johnson & Weaver, LLP is a nationally recognized shareholders' rights
law firm with offices in New York, New York and San Diego, California.
The firm represents individual and institutional investors in
shareholder derivative and securities class action lawsuits. For more
information about the firm and its attorneys, please visit http://www.johnsonandweaver.com.
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