Blue Ridge Bankshares, Inc. (BRBS) Has to Restate its Financial Statements Due to Inadequate Internal Controls over Financial Reporting
A shareholder filed a class action on behalf of all persons and entities that purchased or otherwise acquired Blue Ridge Bankshares, Inc. (NASDAQ: BRBS) securities between March 10, 2023 and October 31, 2023. Blue Ridge conducts its business activities through its “wholly-owned subsidiary bank, Blue Ridge Bank [. . .], and its wealth and trust management subsidiary, BRB Financial Group, Inc.”
According to the complaint, during the class period, defendants failed to disclose that: (1) Blue Ridge’s financial statements from March 10, 2023 to the present included certain errors; (2) as a result, Blue Ridge would need to restate its previously filed financial statements from March 10, 2023 to October 31, 2023; and (3) as a result, defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all times.
Plaintiff alleges that on October 31, 2023, Blue Ridge filed with the SEC a current report on Form 8-K announcing it would need to restate its consolidated financial statements for its 2022 Annual Report, and the first two quarters of 2023. On this news, the price of Blue Ridge stock fell $1.06 per share, or 33.65%, to close at $2.09 on November 1, 2023.
What Now: Similarly situated shareholders may be eligible to participate in the class action against Blue Ridge Bankshares, Inc. Shareholders who want to act as lead plaintiff for the class should contact Robbins LLP. Plaintiffs must file their lead plaintiff papers by February 5, 2024. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
