LOS ANGELES–(BUSINESS WIRE) – Frank R. Cruz's law firm announces that a class action lawsuit has been filed on behalf of individuals and organizations FirstEnergy Corp. ("FirstEnergy" or the "Company") (NYSE: FE) jointly purchased or otherwise acquired inventory between February 21, 2017 and July 21, 2020 (including the "Class Period"). FirstEnergy investors have until September 28, 2020 to file a petition from the lead plaintiff.
If you are a shareholder who has suffered a loss, click here to participate.
On July 21, 2020, media reported in connection with the arrest of a legislature in Ohio that FirstEnergy had launched an illegal program to save the company's nuclear power plants from taxpayers. The company also announced that it had received 6 subpoenas in connection with an investigation into the passing of the Ohio House Bill.
In the news, the company's share price fell $ 7.01, or 17%, and closed on July 21, 2020 with an unusually high trading volume at $ 34.25 per share.
On July 22, 2020, Cleveland.com published an article entitled "FirstEnergy has worked tirelessly to get Ohio lawmakers to save the utility's nuclear power plants", which included more details on FirstEnergy's illegal activities.
In the news, the company's share price fell $ 7.16, or 21%, and closed on July 22, 2020 with an unusually high trading volume at $ 27.09 per share.
The complaint lodged in this class action alleges that the defendants have made materially incorrect and / or misleading statements throughout the class period and have not disclosed any material adverse facts about the business, operations, and prospects of the company. In particular, the defendants did not disclose to investors: (1) FirstEnergy and its agents and affiliates had staged a $ 60 million campaign to corrupt the political process to ensure that laws are passed in favor of the company and its affiliates; (2) FirstEnergy and its agents and affiliates secretly sent tens of millions of dollars to Ohio politicians to bribe them to win votes for HB6, a $ 1.3 billion interest rate bailout for FirstEnergy's unprofitable nuclear facilities; (3) that FirstEnergy and its agents and affiliates had launched a massive, misleading advertising campaign to support HB6 and against an HB6 repeal campaign by channeling millions of dollars through a complex network of dark money entities and front companies to hide the company's involvement; (4) FirstEnergy and its representatives and affiliates undermined a civic initiative to lift HB6 by, among other things, employing unscrupulous tactics by employing more than 15 signature collectors (thus preventing them from supporting the initiative) and insiders of the election initiative bribing and signature collectors; (5) that, as a result of the foregoing, the defendant's statements regarding the class period regarding FirstEnergy's regulatory and legislative efforts were materially false and misleading; and (6) that FirstEnergy was exposed to an extreme undisclosed risk of reputational, legal and financial damage as a result of the foregoing.
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If you purchased FirstEnergy securities during the class period, you can ask the court to appoint the primary plaintiff no later than September 28, 2020. You do not need to take any action at this time to be a member of the class. You can keep a lawyer of your choice or take no action and remain an absent member of the class. If you have purchased FirstEnergy Securities, have information, or wish to learn more about these claims, or have any questions about this announcement or your rights or interests in relation to these matters, please contact Frank R. Cruz of Frank R.'s law firms. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067, 310-914-5007, email firstname.lastname@example.org or visit our website at www.frankcruzlaw.com. If you inquire by email, please provide your mailing address, telephone number and number of shares purchased.
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