DENVER, June 11, 2008 (LAWFUEL) — Dyer & Berens LLP
(www.DyerBerens.com) announced today that a proposed class-action
lawsuit on behalf of persons who purchased or otherwise acquired the
common stock of Franklin Bank Corp. (“Franklin Bank” or the “Company”)
(Nasdaq:FBTX) between April 26, 2007 and May 1, 2008 (the “Class
Period”) was filed in the United States District Court for the Southern
District of Texas.
If you purchased or acquired the common stock of Franklin Bank during
the Class Period, you may, no later than August 5, 2008, request that
the Court appoint you as a lead plaintiff for the Class. A lead
plaintiff is a class member that acts on behalf of other investors in
directing the litigation. Although your ability to share in any
recovery is not affected by the decision whether or not to seek
appointment as a lead plaintiff, lead plaintiffs make important
decisions which could affect the overall recovery for class members.
For a free consultation regarding your rights and interests with
respect to the pending lawsuit, you may contact Jeffrey A. Berens of
Dyer & Berens LLP at (888) 300-3362 or (303) 861-1764, or via email at
jeff@dyerberens.com.
In the complaint, the plaintiff alleges that Franklin Bank and certain
of its officers and directors violated federal securities laws by
issuing materially false and misleading statements regarding the
Company’s business and financial results. Specifically, the plaintiff
contends that, during the Class Period, the defendants concealed that:
(i) Franklin Bank’s assets contained tens of millions of dollars worth
of impaired and risky securities; (ii) defendants failed to properly
account for Franklin Bank’s mortgage-related assets; (iii) defendants
had not properly accounted for single family loans serviced by third
parties that became delinquent; and (iv) Franklin Bank’s call reports
filed with the FDIC beginning with the September 2007 quarter, at the
latest, and its Form 10-Q for the September 2007 quarter were in error
due to the Company’s failure to properly account for losses on mortgage
loans and residential real estate owned properties.
While Dyer & Berens LLP has not at this time filed a complaint against
the defendants, it specializes in complex class action litigation on
behalf of injured investors throughout the nation. The firm’s extensive
experience in securities litigation, particularly in cases brought
under the Private Securities Litigation Reform Act, has contributed to
the recovery of hundreds of millions of dollars for aggrieved
investors. For more information about the firm, please go to
www.DyerBerens.com.
