A contentious divide in the leadership of Republic First Bancorp, Inc. (Republic First) has now resulted in a third lawsuit against the company, this one filed by shareholders. Early last year, Republic First’s eight-person board of directors was evenly split into two camps: one led by former Republic First CEO, Vernon Hill, II, and another led by Harry Madonna, who had been CEO of Republic First prior to Hill. The two groups held conflicting views on the future of Republic First, with Hill’s faction seeking an expansion of retail banking operations and Madonna’s in favor of selling the company. The dispute between the two groups quickly became a public issue as Madonna’s group of directors issued a press release in March of 2022 accusing Hill and his associates of self-dealing and mismanagement. As a result of the letter, Republic First’s independent auditor expressed concerns about its forthcoming work with the company, and Republic First was unable to file its Form 10-K for the 2021 fiscal year until those concerns were addressed and the audit completed.
Tim Mast has over 25 years of experience litigating complex business disputes in state and federal courts across the country. He regularly represents companies and their officers and directors in litigation arising out of public disclosures, securities offerings, financing transactions and mergers and acquisitions, including securities class actions, shareholder derivative litigation, ERISA class actions and post-closing disputes related to working capital adjustments, earn-outs and breaches of representations and warranties.