Zeldes Haeggquist &Eck Announces Investigation of Gas Natural, Inc. (NYSEMKT: EGAS)
Zeldes Haeggquist & Eck, LLP, a shareholder and consumer rights litigation firm, has commenced an investigation into Gas Natural, Inc. (“Gas Natural” or the “Company”) (NYSEMKT: EGAS). The investigation is related to potential violations of federal securities laws and breaches of fiduciary duties by the Company’s Board of Directors, former directors, and current and former executive officers.
On November 15, 2013, Gas Natural disclosed that the Public Utilities Commission of Ohio (“PUCO”) had issued a 65-page Opinion and Order (the “PUCO Order”) related to gas cost recovery cases involving two of the Company’s operating subsidiaries, Northeast Ohio Natural Gas Corp. (“NEO”) and Orwell Natural Gas Company (“Orwell”).
The PUCO Order raised questions about the true corporate separation of NEO and Orwell from their affiliates, and the “inflated” fees the two subsidiaries paid to an affiliate company for natural gas purchases. “We are concerned that the evidence shows a pattern of behavior favoring affiliates of the companies and appearing not at arms-length,” the order stated.
On November 19, 2013, Gas Natural filed a Form 10-Q with the U.S. Securities and Exchange Commission announcing, among other things, its financial results for the quarter ended September 30, 2013. The Form 10-Q disclosed that the PUCO Order levied civil forfeitures and recommended an outside investigative and forensic audit of NEO, Orwell, and all affiliated and related companies and their internal management controls.
What You Can Do
If you are a Gas Natural shareholder, you may have legal claims against Gas Natural’s Officers and Directors. If you wish to discuss this investigation, or have questions about this notice or your legal rights, please contact attorney Amber L. Eck at (619) 342-8000 or via email at email@example.com