Chesapeake Energy Corp CHK Securities Lawsuit

Company:	Chesapeake Energy Corp
Ticker Symbol:	CHK
Class Period:	Apr-30-09 to May-10-13
Date Filed:	Jun-6-12
Lead Plaintiff Deadline:	Aug-5-12
Court:	---
Allegations:

New York, NY: A securities class action lawsuit asserting claims under the Securities Exchange Act of 1934 has been filed on behalf of those who purchased or otherwise acquired shares of Chesapeake Energy Corp, between and including April 30, 2009 and May 10, 2012.

This Complaint extends the class period beyond the April 17, 2012 end date alleged in the initial class action complaint filed against Chesapeake on April 26, 2012, styled as Dvora Weinstein and Steven S. Weinstein v. Aubrey K. McClendon and Chesapeake Energy Corp., Case No. Civ-12-465-W (W.D.Ok.). The deadline for class members to move to serve as lead plaintiff is June 25, 2012.

The Complaint alleges that Chesapeake's Chief Executive Officer, Aubrey K. McClendon ("McClendon"), obtained over a billion dollars of Company assets pursuant to the Company's Founders Well Participation Program ("FWPP") and borrowed over $1.5 billion dollars against his well interests, presenting material risks to the Company that were not disclosed.

In addition to McClendon, the Complaint names as defendants other individuals--members of the Company's Board of Directors and Senior Executives--who compounded the fraud by failing to stop and concealing McClendon's improper activities.

Beginning April 18, 2012, Defendants' alleged fraud was revealed to the market in a series of investigative reports published by Reuters, the Wall Street Journal and other news media. On April 18, 2012, Reuters reported that McClendon had acquired a huge stake in the Company's numerous oil and gas wells and had borrowed as much as $1.1 billion, later reported to be $1.55 billion, against his stake in the Company's wells. As a result of these and other disclosures, the Company's stock plunged, dropping from its April 17, 2012 close at $19.12 to close on May 11, 2012 at $14.81.

If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.

Chesapeake Energy Corp CHK Securities Fraud Legal Help

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Published on Jun-7-12