Did you lose money on investments in U.S. Bancorp? If so, please visit U.S. Bancorp Shareholder Class Action Lawsuit or contact Peter Allocco at (212) 951-2030 or pallocco@bernlieb.com to discuss your rights.
New York, New York--(Newsfile Corp. - October 28, 2022) - Bernstein Liebhard LLP announces that a securities class action lawsuit has been filed on behalf of investors who purchased or acquired the securities of U.S. Bancorp ("U.S. Bancorp" or the "Company") (NYSE: USB) between August 1, 2019 and July 28, 2022, inclusive (the "Class Period"). The lawsuit was filed in the United States District Court for the Southern District of New York and alleges violations of the Securities Exchange Act of 1934.
U.S. Bancorp provides a full range of financial services, including lending and depository services, cash management, capital markets, and trust and investment management services. It also engages in credit card services, merchant and ATM processing, mortgage banking, insurance, brokerage, and leasing. U.S. Bancorp's banking subsidiary, U.S. Bank National Association ("U.S. Bank"), is engaged in the general banking business, principally in domestic markets. U.S. Bancorp is the publicly traded parent company of U.S. Bank.
Starting in at least 2015, according to the Consumer Financial Protection Bureau ("CFPB"), U.S. Bank engaged in unlawful acts and practices when it imposed sales goals on bank employees as a factor in evaluating employee performance. U.S. Bank, and by extension U.S. Bancorp, implemented an incentive compensation program that financially rewarded employees for selling consumer financial products or services. According to the 2022 Consent Order ("the Consent Order), U.S. Bancorp pressured employees to sell more products because doing so was in Defendants' best interest. In response, employees engaged in unlawful conduct and opened deposit accounts, submitted applications for and issued credit cards, and opened lines of credit linked to deposit accounts without consumers' knowledge and consent.
Plaintiff alleges that Defendants made materially false and misleading statements throughout the Class Period. Specifically, Plaintiff alleges that Defendants failed to disclose that: (a) U.S. Bank put sales pressure on its employees that led them to open credit cards, lines of credit, and deposit accounts without consumers' knowledge and consent; (b) since at least 2015, U.S. Bank and by extension, U.S. Bancorp, was aware of such unauthorized conduct and that it was violating relevant regulations and laws aimed at protecting its consumers; (c) U.S. Bancorp failed to properly monitor its employees from engaging in such unlawful conduct, detect and stop the misconduct, and identify and remediate harmed consumers; (d) all the foregoing subjected the Company to a foreseeable risk of heightened regulatory scrutiny or investigation; and (e) U.S. Bancorp's revenues were in part the product of unlawful conduct and thus unsustainable.
On July 28, 2022, the truth about U.S. Bancorp's practices was disclosed when the CFPB issued a Consent Order and fined U.S. Bank $37.5 million for illegally exploiting consumers' personal data to open sham accounts for unsuspecting customers.
On this news, the price of U.S. Bancorp stock declined 4% to close at $46.12 on July 28, 2022.
If you wish to serve as lead plaintiff, you must move the Court no later than December 27, 2022. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn't require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
If you purchased U.S. Bancorp securities, and/or would like to discuss your legal rights and options please visit U.S. Bancorp Shareholder Class Action Lawsuit or contact Peter Allocco at (212) 951-2030 or pallocco@bernlieb.com.
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal's "Plaintiffs' Hot List" thirteen times and listed in The Legal 500 for ten consecutive years.
ATTORNEY ADVERTISING. © 2022 Bernstein Liebhard LLP. The law firm responsible for this advertisement is Bernstein Liebhard LLP, 10 East 40th Street, New York, New York 10016, (212) 779-1414. Prior results do not guarantee or predict a similar outcome with respect to any future matter.
Contact Information:
Peter Allocco
Bernstein Liebhard LLP
https://www.bernlieb.com
(212) 951-2030
pallocco@bernlieb.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/142208
