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BofI Investors Get Money Laundering Statements Suit Revived

Nov. 3, 2020, 9:25 PM

BofI Holding Inc. investors can try again to hold the company liable for allegedly misleading statements about a money laundering investigation, after the Ninth Circuit partially reversed a lower court’s dismissal Tuesday.

The internet bank holding company’s investors deserve a new chance to show that some of their losses followed a news article, based on information obtained from the Securities and Exchange Commission through a Freedom of Information Act request, that revealed the alleged misrepresentation, the U.S. Court of Appeals for the Ninth Circuit said.

A lower court dismissed the investor complaint in 2018, saying that the information was ...