Holzer Holzer & Fistel, LLC announces that it is investigating potential breaches of fiduciary duty by certain officers and directors of Orrstown Financial Services, Inc. (“Orrstown” or the “Company”) (NASDAQ: ORRF). On May 25, 2012, an investor filed a class action lawsuit against Orrstown alleging, among other things, that the Company violated the federal securities laws between March 24, 2010 and October 27, 2011 by issuing false and misleading statements that failed to timely disclose adverse material information about the Company. On October 27, 2011, Orrstown revealed that the Federal Reserve Bank of Philadelphia, which is one of the bank’s primary regulators, rejected the Company’s request to issue a quarterly dividend due to concerns about its capital base. Orrstown further revealed increased charge offs for the quarter and a decrease in the quality of its loan portfolio. Orrstown stock price fell 30 percent on the news.
Holzer Holzer & Fistel’s investigation seeks to determine if the allegations contained in the class action complaint also give rise to the separate claims against the Board of Directors for breaches of fiduciary duty, which could be enforced on behalf of the Company through shareholder derivative litigation.
If you are a long term holder of Orrstown shares and would like to discuss your legal rights, you may contact Michael I. Fistel, Jr., Esq., or Marshall P. Dees, Esq. via email at firstname.lastname@example.org, or email@example.com, or via toll-free telephone at (888) 508-6832.
Holzer Holzer & Fistel, LLC is an Atlanta, Georgia law firm that dedicates its practice to vigorous representation of shareholders and investors in litigation nationwide, including shareholder class action and derivative litigation. More information about the firm is available through its website, www.holzerlaw.com and upon request from the firm. Holzer Holzer & Fistel, LLC has paid for the dissemination of this promotional communication, and Michael I. Fistel, Jr. is the attorney responsible for its content.