NYSE:MHR Investor Alert: Lawsuit against Magnum Hunter Resources Corp filed
The Shareholders Foundation announces that an investor in shares of Magnum Hunter Resources Corp (NYSE:MHR) filed a lawsuit in the U.S. District Court for the Southern District of New York over alleged violations of Federal Securities Laws by Magnum Hunter Resources Corp in connection certain allegedly false and misleading statements made between January 17, 2012 and April 22, 2013
Houston, Texas based Magnum Hunter Resources Corporation (Magnum Hunter) is an independent oil and gas company
Investors who purchased a significant amount of shares of Magnum Hunter Resources Corp (NYSE:MHR) between January 17, 2012 and April 22, 2013 and / or those who purchased NYSE:MHR shares prior to Jan. 2012 and currently hold any of those shares, have certain options and for certain investors are short and strict deadlines running. Deadline: June 24, 2013. NYSE:MHR investors should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff on behalf of purchasers of Magnum Hunter Resources Corp publicly traded securities (NYSE: MHR, MHR-PD, MHR-PE, MHR-PC) during the period between January 17, 2012 and April 22, 2013, that Magnum Hunter Resources Corp and certain of its officers and directors violated the Securities Exchange Act of 1934 by issuing between January 17, 2012 and April 22, 2013 allegedly materially false and misleading statements regarding the reliability of its publicly reported financial reports.
More specifically, the plaintiff alleges that investors were misled concerning the reliability of Magnum Hunter Resources’ financial statements and internal controls in order to, among other things, facilitate the sale by Magnum Hunter Resources Corp of hundreds of millions of dollars’ worth of its common stock, preferred shares and publicly traded debt in multiple offerings conducted between January 17, 2012 and April 22, 2013.
On April 16, 2012, Magnum Hunter Resources Corp provided its First Quarter 2013 Company Wide Operational Update. The same day Magnum Hunter Resources Corp disclosed in a filing with the SEC that on April 10, 2013, Magnum Hunter Resources Corporation at the direction of the Audit Committee of Magnum Hunter Resources’ Board of Directors dismissed PricewaterhouseCoopers LLP (“PwC”) as Magnum Hunter Resources’ independent registered public accounting firm for the fiscal year ended December 31, 2012, effective immediately.
Then on April 22, 2013, Magnum Hunter Resources Corp disclosed that PricewaterhouseCoopers LLP disagreed with its account of their parting, disclosing a letter from PricewaterhouseCoopers LLP stating that PwC had “advised the Company that information [had come] to [its] attention that [PwC had] concluded materially impact[ed] the fairness or reliability of the Company’s consolidated financial statements and [that] this issue was not resolved to [PwC’s] satisfaction prior to [its] dismissal.”
Shares of Magnum Hunter Resources Corp declined from $4.00 per share on April 9, 2013, to as low as $2.39 per share on April 22, 2013.
On May 14, 2013, NYSE:MHR shares closed at $3.41 per share which is less than half its current 52 week High.
Those who purchased shares of Magnum Hunter Resources Corp have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North – Suite 423
92108 San Diego