CASES
BP PLC
Class Period: Mar 4, 2009 to Jun 1, 2010
Lead Plaintiff Deadline: Jul 20, 2010 + Deadline passed
Summary of Case:
A securities class action has been filed against BP PLC (BP) ("BP" or the "Company") on behalf of all securities purchasers from March 4, 2009 through June 1, 2010, inclusive ("Class Period"), in the United States District Court for the Western District of Louisiana.
The complaint alleges that BP was misleading the investing public by touting the growth potential of its Gulf of Mexico operations, beginning in March of 2009, and highlighting the safety of the operations, BP convinced investors, including Plaintiffs, that BP would be able to generate tremendous growth with minimal risk. The complaint alleges that BP was cutting corners and reducing its spending on safety measures in an effort to maximize profits in the Gulf of Mexico. Allegedly caused by inadequate safety protocols, on April 20, 2010, there was a massive explosion on a mobile offshore drilling unit in the Gulf of Mexico operated by BP known as the Deepwater Horizon. According to the complaint, it was not until April 20, 2010, after the explosion, that material information began to emerge about BP's safety measures.
The complaint further alleges that BP hid the fact that its safety procedures were deficient, both overall and specific to operations in the Gulf of Mexico. The complaint alleges that shareholders invested in BP based on Defendants' assurances that BP had enforced strong safety measures, had actively managed its risk exposure, and had achieved significant growth from its Gulf of Mexico operations without increasing the risk of a catastrophic disaster. The impact of these assurances on BP's ADR price is readily reflected by the market's reaction following the explosion, when the truth became known.
If you purchased this company's shares during the Class Period and suffered a loss or for further information about the case, please review the links below.