Stockholder Sues SCANA Corporation, Executives Over Abandoned Nuclear Project

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SCANA Corporation and three executives are facing yet another lawsuit in the wake of an abandoned nuclear energy project that allegedly fell years behind schedule and exceeded its budget by billions of dollars. The plaintiff, a SCANA stockholder, claims the defendants released misleading public statements regarding the success of the project despite knowing “a formal construction schedule was never in place and costs were spiraling out of control.” As a result, the suit alleges, stockholders who invested in the company based on its false representations were financially injured after the defendants’ sudden decision to abandon the project caused stock prices to fall.

“Indeed,” the complaint reads, “rather than disclose to the market that the Nuclear Project was facing serious design, construction, and cost headwinds, as described in a secret, 130-page report issued by Bechtel Corporation (‘Bechtel’) on February 5, 2016 (the ‘Bechtel Report’), Defendants doubled down on their strategy of deception and misdirection by issuing SCANA produced [sic] promotional videos, press releases, and other public statements that created a fundamentally false and misleading impression to investors that the project was running smoothly within a reasonable budget and on schedule.”