Between September 12, 2023 and August 26, 2024 inclusive, the Bank of Montreal (“BMO”), its officers William Darryl White, Tayfun Tuzun and Piyush Agrawal as well as its directors Craig Weyeth Broderick, Stephen J. Dent, Dr. Martin S. Eichenbaum, David E. Harquail, Linda S. Huber and Lorraine Mitchelmore (the “Defendants”) published documents that contain misrepresentations and omit to disclose material facts relating to the BMO’s poor credit risk management, including among other things, ineffective and/or deficient risk management controls and policies, an increase in the provision for credit losses on impaired loans and the impairment of commercial real estate loans.
The effect of Defendants’ misconduct was to artificially inflate the value of BMO’s securities. As a result, members of the proposed class acquired BMO’s securities at artificially inflated prices that did not reflect their true value.
When the entire truth emerged on August 27, 2024, the value of BMO’s securities plummeted, resulting in a loss to the members of the proposed class.
The proposed class action seeks to obtain a judgment ordering the Defendants to pay damages to each member of the proposed class.
You are a member of the proposed class action if you acquired one or more securities of the BMO between September 12, 2023 and August 26, 2024 inclusive, and still held all or some of those securities at any time between May 29, 2024 and August 26, 2024 inclusive.
On September 26, 2024, an Application for Authorization to Institute a Class Action and for Authorization to Bring an Action for Damages under article 225.4 of the Securities Act, CQLR c V-1.1 was filed before the Superior Court of Québec.
The class action is currently at the authorization stage.
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