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BofI Must Face Investor Suit on Federal Investigation Statements

March 3, 2021, 6:47 PM

BofI Holding Inc. must face a would-be class suit alleging it misled them about government investigations after a federal judge in California rejected its bid to throw out all claims.

The investor complaint “raises a strong inference” that the bank holding company “intentionally made the misleading press release statement or acted with deliberate recklessness as to its falsity,” the U.S. District Court for the Southern District of California said.

The U.S. Court of Appeals for the Ninth Circuit in November revived the proposed class case, ruling that the investors could rely on information disclosed pursuant to a Freedom of ...