BankAtlantic Sues Analyst Bove

BankAtlantic Bancorp(BBX Quote) on Monday sued outspoken analyst Richard Bove for defamation and negligence for using the wrong data in a recent report speculating about the future of several banks following the collapse of IndyMac Bancorp.

The July 13 report, titled "Who is Next?," looked at Federal Deposit Insurance Corp. and holding company data to determine which bank might be the next to fail. The report consists mostly of tables looking at nonperforming assets as a percentage of gross loans and reserves of bank holding companies. BankAtlantic, a community bank located in Fort Lauderdale, Fla., argued that Bove's comparison does not make sense in BankAtlantic's case.

BankAtlantic shares fell as much as 32.5% to 81 cents following the report. The bank filed suit against the influential Bove and employer Ladenburg Thalmann(LTS Quote) on Monday morning in state court for Broward County, Fla., according to a release. ...