it turns out that BOFI knew about the new lawsuit coming out and put together this so called third party investigation to head off the impact of the bad news. Todays selling is most probably coming from many of those investors that bought into the idea that this third party investigation was legit but today are now finding out differently. The CEO is proving to be conniving.
IMO it was odd that BOFI suddenly announced that a third party had given the all clear, as if it were kind of thrown together without any real thoughtful investigation going on.
quote from the bearish article:
BOFI announced that Dentons LLP had given the company the all clear following an investigation into Erhart's claims. The mysterious thing about this announcement is that BOFI NEVER ONCE disclosed to the public that it had even hired Dentons LLP to conduct a third party investigation… in fact, the company in multiple instances denied that it even needed to have a 3rd party firm look into Erhart's claims.
It is even more troubling that BOFI never disclosed that Dentons LLP recently acquired McKenna, Long & Aldridge, the firm that represented BOFI on the H&R Block deal, throwing into question whether Dentons was an appropriately impartial group to handle this type of investigation in the first place.
“The most powerful expression of our heritage isn’t in documents or artifacts or even our stagecoach. It is in any of the millions of relationships we have formed over generations with customers, team members, communities, and shareholders. Relationships define Wells Fargo. Earning lifelong relationships, one customer at a time, is fundamental to achieving our vision.” —Wells Fargo CEO John Stumpf
now that I think about it, I think the price when they took over FnF may have been more like $4.50
the reason why they are not forthcoming with documents is probably to slow down the process and because they are incriminating
what was the per share price when the govt took over: about what it is now right? $1.50ish or so?
Whether the regulators have the right to take over a company is not going to be won by you, however at best you might get your profits returned to you and the warrants released and the preferreds deemed paid in full. But I highly doubt you would get anything for your pain and suffering, lets hope you can simply get what is owed you.