First BanCorp Strikes $74M Deal With Shareholders

Law360, New York (March 5, 2007, 12:00 AM EST) -- First BanCorp will pay $74.25 million to settle a shareholder class action that accused the Puerto Rican mortgage lender of lying on its financial statements and breaking federal securities laws, the company announced on Monday.

The settlement was reached in mediation after a judge agreed to consolidate all the lawsuits against First BanCorp and sent the case to arbitration, according to Alan Cohen, a spokesman for the company.

The deal is still awaiting final approval from a district court judge in Puerto Rico.

"I am pleased...
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