NEW YORK, March 6, 2009 (LAWFUEL) — The Brualdi Law Firm, P.C.
announces that a lawsuit has been commenced in the United States
District Court for the Northern District of Georgia on behalf of
purchasers of SunTrust Banks, Inc. (“SunTrust”) (NYSE:STI) publicly
traded securities during the period between July 22, 2008 and January
21, 2009 (the “Class Period”) for violations of the federal securities
laws.
No class has yet been certified in the above action. Until a class is
certified, you are not represented by counsel unless you retain one. If
you purchased SunTrust securities during the Class Period, and wish to
move the court for appointment of lead plaintiff, you must do so within
60 days of March 6, 2009. A lead plaintiff is a representative party
acting on behalf of other class members in directing the litigation.
The lead plaintiff will be selected from among applicants claiming the
largest loss from investment in the Company during the Class Period.
You do not need to seek appointment as a lead plaintiff in order to
share in any recovery.
To be a member of the class you need not take any action at this time,
and you may retain counsel of your choice. If you wish to discuss this
action or have any questions concerning this Notice or your rights or
interests with respect to these matters, please contact Sue Lee at The
Brualdi Law Firm, P.C. 29 Broadway, Suite 2400, New York, New York
10006, by telephone toll free at (877) 495-1187 or (212) 952-0602, by
email to slee@brualdilawfirm.com or visit our website at
http://www.brualdilawfirm.com.
The complaint alleges that during the Class Period, defendants made
false and misleading statements about SunTrust’s financial results and
conditions. Specifically, the Company’s publicly reported financial
results and defendants’ statements regarding the Company’s business and
capital position were materially false and/or misleading because they
failed to disclose that: (a) defendants’ assets, including loans and
mortgage-related securities, were impaired to a much larger extent than
the Company had disclosed; (b) defendants failed to properly record
losses for impaired assets; (c) the Company’s internal controls were
inadequate to prevent the Company from improperly reporting the value
of its assets; and (d) SunTrust was not as well capitalized as
represented, and, notwithstanding the $3.5 billion the Company received
on November 17, 2008 from the Troubled Asset Relief Program (“TARP”),
the Company announced that it would have to raise an additional $1.4
billion in TARP funds just three weeks later. As SunTrust’s true
condition slowly came to light in a series of write-downs, reserve
increases and capital-raising, SunTrust’s stock price dropped from a
Class Period high of over $59 per share to less than $14 per share.
