NEW YORK, Dec. 18, 2019 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Exelon Corporation (“Exelon” or the “Company”) (NASDAQ: EXC) in the United States District Court for the Northern District of Illinois on behalf of those who purchased or acquired the securities of between February 9, 2019 and November 1, 2019, inclusive, inclusive (the “Class Period”). The lawsuit seeks to recover damages for Exelon investors under the federal securities laws.
The Complaint alleges Defendants failed to disclose to investors: (1) that Exelon and/or its employees were engaged in unlawful lobbying activities; (2) that the foregoing increased the risk of a criminal investigation into Exelon; (3) that ComEd’s (defined below) revenues were in part the product of unlawful conduct and thus unsustainable; and (4) that, as a result of the foregoing, the Company’s financial statements were materially false and misleading at all relevant times.
On July 15, 2019, Exelon announced that the Company and Commonwealth Edison (“ComEd”), which is owned by Exelon, had received a grand jury subpoena from the U.S. Attorney concerning Exelon’s lobbying activities in Illinois. Then, on October 9, 2019, Exelon disclosed receipt of a second grand jury subpoena regarding its communications with Illinois State Senator Martin Sandoval.
On October 15, 2019, Exelon announced the abrupt exit of Anne Pramaggiore, Chief Executive Officer of Exelon Utilities. Analysts immediately identified the criminal subpoenas and Pramaggiore’s abrupt resignation as “being directly related to each other.” On this news, Exelon’s share price fell $2.15, or nearly 5%, to close at $44.91 per share on October 16, 2019, thereby injuring investors.
Then, on October 31, 2019, the Company revealed that the U.S. Securities and Exchange Commission had also opened an investigation into the Company’s lobbying activities but declined to state whether the investigations went beyond Illinois. On this news, Exelon’s share price fell $1.17, or nearly 3%, to close at $45.49 per share on October 31, 2019, thereby injuring investors further.
Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the February 14, 2020 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
Please visit our website at http://www.gme-law.com for more information about the firm.