| COMPANY |
FirstEnergy Corp. |
| COURT |
United States District Court for the Southern District of Ohio |
| CASE NUMBER |
20-cv-03785 |
| JUDGE |
The Honorable Algenon L. Marbley |
| CLASS PERIOD |
February 21, 2017 - July 21, 2020 |
| SECURITY TYPE |
Common Stock |
Case Background:
On July 28. 2020 the initial complaint in this securities class action was filed against FirstEnergy Corp. (“FirstEnergy” or the “Company”) and certain of FirstEnergy’s directors and officers, asserting violations of Sections 10(b) and 20(a) of the Securities Exchange Act. This is a federal securities class action on behalf of all persons who purchased or otherwise acquired FirstEnergy securities between February 21, 2017 through July 21, 2020, both dates inclusive (the “Class Period”).
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations and. prospects. Specifically, the complaint alleges that Defendants touted FirstEnergy’s legislative “solutions” to problems with its nuclear facilities, but failed to disclose that these “solutions” centered on an illicit campaign to corrupt high-profile state legislators in order to secure legislation favoring the Company. Over a nearly three-year period, FirstEnergy and its affiliates funneled more than $60 million to prominent state politicians and lobbyists, including Ohio Speaker Larry Householder, in order to secure the passage of Ohio House Bill 6, which provided a $1.3 billion ratepayer-funded bailout to keep the Company’s failing nuclear facilities in operation. In addition, Defendants falsely represented that they were complying with state and federal laws and regulations regarding regulatory matters throughout the Class Period, exposing the Company and its investors to the extreme undisclosed risks of reputational, legal and financial harm.
Current Status of Case:
On August 20, 2024,the Court entered an Order vacating the existing stay, denying stay of all discovery, and granting the stay of expert discovery. This action is in the discovery phase and is ongoing.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji,Esq. (484) 270-1453; or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.