SAN DIEGO--(BUSINESS WIRE)--Shareholder Rights Law Firm Johnson & Weaver, LLP is investigating potential violations of the federal securities laws by Doral Financial Corporation (NYSE: DRL) and certain of its officers. Doral Financial Corporation operates as the bank holding company for Doral Bank that provides retail banking services to general public and institutions.
On May 1, 2014, the Company announced it was developing a revised capital plan to address the Federal Deposit Insurance Corp. (FDIC) ruling that the bank could not include tax receivables from the Puerto Rican government. These receivables, representing 43% of its assets, were being included in Doral’s Tier 1 capital ratio calculations. Since the news the stock has lost over 65% of its value
If within 120 days of the FDIC notice Doral does not increase capital in an amount sufficient to comply with the capital ratios they could be forced to sell, merge or liquidate.
Johnson &Weaver’s investigation will seek to determine if shareholders were harmed by false and misleading statements made by Doral concerning its capital structure, business and prospects. Additionally, we will seek to determine if Doral concealed significant defects in its internal controls.
If you are a Doral shareholder and are interested in learning more about the investigation or your legal rights and remedies, please contact Jim Baker (firstname.lastname@example.org) at 619-814-4471. If you email, please include your phone number.
Johnson & Weaver, LLP is a nationally recognized shareholder rights law firm with offices in California and New York. 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. Attorney advertising. Past results do not guarantee future outcomes.