Commonwealth Investor Suit Says Execs Hid Financial Woes

Law360, Los Angeles (February 6, 2013, 9:51 PM EST) -- Top executives at Commonwealth Bankshares Inc., the holding company for the now-defunct Bank of the Commonwealth, were hit with a proposed class action Wednesday by an investor who says they fraudulently concealed the bank’s financial information, resulting in the indictment of six insiders.

Wednesday’s securities complaint, filed in Virginia federal court by shareholder Aaron Masterson, comes less than a month after the U.S. Securities and Exchange Commission sued the bank’s former top managers, Edward J. Woodard, Cynthia A. Sabol and Stephen G. Fields, for allegedly violating...
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