BOSTON, Sept. 27, 2021 (GLOBE NEWSWIRE) -- Block & Leviton announces that a class action lawsuit has been filed against loanDepot, Inc. (NYSE: LDI) for securities law violations. Investors who purchased shares and have lost money are encouraged to contact the firm to learn more about how they might recover those losses. For more details, visit https://www.blockleviton.com/cases/ldi.
What is this all about?
Yesterday, a New York Times article, “Mortgage Lender Cut Corners in Echo of 2008 Crisis, Ex-Executive Says,” highlighted claims of reckless behavior by loanDepot, Inc. CEO Anthony Hsieh and other top executives. Allegations by the Company’s former Chief Operating Officer, Tammy Richards, alleged rule-breaking and failures in loanDepot’s underwriting process to increase sales and take on riskier loans reminiscent of problems that fueled the 2008 mortgage crisis.
The Company had its initial public offering in February 2021 at a price of $14 per share. Ms. Richard’s lawsuit against the Company alleges that the planned IPO was the motive for the Company’s executives to cover up the CEO’s reckless behavior and that top executives received special one-time cash bonuses worth millions of dollars before the Company went public.
loanDepot's stock has dropped to almost $7 per share; almost 50% below the February 2021 IPO price of $14 per share.
Who is eligible?
Anyone who purchased loanDepot stock between in or after the IPO is potentially eligible, whether or not they have sold their investment. Investors should contact Block & Leviton to learn more.
What should you do next?
The deadline to seek appointment as lead plaintiff is November 6, 2021. A class has not yet been certified, and until a certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
Why should you contact Block & Leviton?
Many law firms have issued releases about this matter; most of those firms do not actually litigate securities class actions. Block & Leviton is a law firm that actually litigates cases. We are dedicated to obtaining significant recoveries on behalf of defrauded investors through active litigation in the federal courts across the country. Many of the nation's top institutional investors hire us to represent their interests. You can learn more about us at our website, www.blockleviton.com, or call (617) 398-5600 or email firstname.lastname@example.org with any questions.
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