Breaking News: Investors Suffer Losses – Law Offices of Frank R. Cruz Announces Securities Fraud Class Action against Ready Capital Corporation
Los Angeles, CA, March 19, 2025 – The Law Offices of Frank R. Cruz, a leading national shareholder rights law firm, announces that investors who suffered losses in Ready Capital Corporation (“Ready Capital” or the “Company”) (NYSE: RC) between February 26, 2020, and March 16, 2025, inclusive, have the opportunity to join a securities fraud class action lawsuit against the Company. The complaint, filed on March 18, 2025, in the United States District Court for the Southern District of New York alleges that Ready Capital and certain of its top executives violated the Securities Exchange Act of 1934.
Background on Ready Capital Corporation
Ready Capital is a real estate investment trust (REIT) that invests in and finances commercial properties. The Company’s investment portfolio comprises approximately 350 commercial properties with a total investment in real estate of approximately $11.2 billion as of December 31, 2024. Ready Capital’s primary business activities include originating, acquiring, and managing commercial mortgage loans and other commercial real estate debt investments.
The Allegations
The complaint alleges that Ready Capital and its executives made false and misleading statements regarding the Company’s business, operations, and financial condition. Specifically, the complaint alleges that the defendants failed to disclose: (1) that the Company had significant exposure to distressed and underperforming assets, (2) that the Company’s loan underwriting standards had deteriorated, and (3) that the Company’s financial statements did not accurately reflect the true financial condition of the Company.
Impact on Investors
As a result of the defendants’ alleged misrepresentations, Ready Capital’s stock traded at artificially inflated prices during the Class Period. When the truth was revealed, the price of Ready Capital’s stock plummeted, causing significant losses for investors. Investors who purchased Ready Capital’s securities during the Class Period may be able to recover their losses through the securities fraud class action.
Impact on the World
The securities fraud class action against Ready Capital Corporation is an important development for investors, as it highlights the importance of accurate and transparent disclosures by publicly traded companies. The case also underscores the risks associated with investing in real estate investment trusts, particularly during economic downturns. As the economy continues to recover from the pandemic, investors must remain vigilant about the financial condition of the companies in which they invest.
Conclusion
The Law Offices of Frank R. Cruz continues to investigate potential securities fraud claims on behalf of investors in Ready Capital Corporation. If you invested in Ready Capital between February 26, 2020, and March 16, 2025, and suffered losses as a result, you may be entitled to join the securities fraud class action lawsuit. For more information, please contact the Law Offices of Frank R. Cruz at 310-914-5007 or by email at [email protected]. The deadline to file a motion for lead plaintiff is May 18, 2025.
- Investors in Ready Capital Corporation suffered losses due to alleged securities fraud.
- The Law Offices of Frank R. Cruz announced a securities fraud class action lawsuit against Ready Capital.
- The complaint alleges that the Company and its executives made false and misleading statements.
- The case highlights the importance of accurate and transparent disclosures.
- Investors who purchased Ready Capital securities during the Class Period may be entitled to recover losses.
