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Case Status:    SETTLED
On or around 06/14/2013 (Other)

Filing Date: September 16, 2008

The complaint charges BankUnited and certain of its officers and directors with violations of the Securities Exchange Act of 1934. BankUnited is the holding company for BankUnited, FSB, which provides consumer and commercial banking products and services to consumers and businesses located primarily in Florida.

The complaint alleges that during the Class Period, defendants made false and misleading statements about BankUnited. Specifically, defendants misrepresented: (a) the losses the Company was likely to suffer due to BankUnited's poor underwriting standards, which losses would occur once interest rates reset on the billions of dollars of pay-option arms (adjustable rate mortgages where borrowers had the ability to choose their payment amount during the initial period of the loan); (b) BankUnited's sketchy appraisal process, which permitted borrowers to obtain mortgages in excess of their ability to pay and in excess of the value of the underlying property; and (c) BankUnited's policies with regard to "piggy-back" loans, which are essentially second mortgages made at the time a home is purchased to fund a down payment. When the truth began to come to light, BankUnited's stock
price plunged, damaging innocent investors.

On April 6, 2009, the Court granted the motion to appoint the Police Pension Funds, consisting of the Louisiana Municipal Police Employees’ Retirement System and the Oklahoma Police Pension & Retirement System, as Lead Plaintiff and approved Lead Plaintiff’s selection of the law firm of Berman DeValerio Pease Tabacco Burt & Pucillo to serve as Lead Counsel. All similar actions are and will be consolidated into In re Bank United Securities Litigation, under Master File Case No. 08-CIV-22572 COOKE/BANDSTRA.

On May 27, 2009, BankUnited Financial Corporation filed a suggestion of bankruptcy. On June 30, 2009, the plaintiffs filed a Consolidated Amended Class Action Complaint. On August 28 and 31, 2009, the defendant filed motions to dismiss the Consolidated Amended Class Action Complaint. On March 30, 2010, Judge Marcia G. Cooke granted the defendants’ motions to dismiss and the action was dismissed without prejudice. The plaintiffs have filed a motion for leave to file an amended complaint.

After mediation, the parties agreed to a settlement in June 2011. On September 30, 2011, a motion for preliminary approval of the settlement and motion to certify the class was filed. According to the Stipulation of Agreement, the terms of the Stipulation provide that the Class will recover $3,000,000 in cash in exchange for the release of certain claims, including all claims asserted in the Action against Defendants and, separately, an additional $500,000 under an Assignment of Rights entered into between Plaintiffs and non-party Federal Deposit Insurance Corporation, as receiver for BankUnited, FSB.

COMPANY INFORMATION:

Sector: Financial
Industry: S&Ls/Savings Banks
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: BKUNA
Company Market: NASDAQ
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: S.D. Florida
DOCKET #: 08-CV-22572
JUDGE: Hon. Marcia G. Cooke
DATE FILED: 09/16/2008
CLASS PERIOD START: 04/18/2006
CLASS PERIOD END: 06/18/2008
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Coughlin Stoia Geller Rudman & Robbins LLP (Florida)
    197 S. Federal Highway, Suite 20, Coughlin Stoia Geller Rudman & Robbins LLP (Florida), FL 33432
    561-750-3000 561-750-3364 · info@csgrr.com/
  2. Coughlin Stoia Geller Rudman & Robbins LLP (San Diego)
    655 West Broadway, Suite 1900, Coughlin Stoia Geller Rudman & Robbins LLP (San Diego), CA 92101
    619.231.1058 619.231.7423 · info@csgrr.com/
  3. Schwartz, Junell, Campbell & Oathout, LLP (Miami)
    5480 SW 94th Terrace, Schwartz, Junell, Campbell & Oathout, LLP (Miami), FL 33156
    305.858.5555 ·
No Document Title Filing Date
COURT: S.D. Florida
DOCKET #: 08-CV-22572
JUDGE: Hon. Marcia G. Cooke
DATE FILED: 06/30/2009
CLASS PERIOD START: 10/24/2006
CLASS PERIOD END: 06/19/2008
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Berman DeValerio (Boston)
    One Liberty Square, Berman DeValerio (Boston), MA 02109
    617.542.8300 617.542.8300 ·
  2. Berman DeValerio (Palm Beach Gardens)
    4280 Professional Center Drive, Suite 350, Berman DeValerio (Palm Beach Gardens), FL 33410
    561.835.9400 561.835.9400 ·
No Document Title Filing Date