Welcome!

News Feed Item

Schubert Jonckheer & Kolbe LLP Investigating PG&E's Officers and Directors for Misconduct Related to San Bruno Pipeline Explosion

SAN FRANCISCO, Sept. 3, 2014 /PRNewswire-USNewswire/ -- In conjunction with yesterday's record $1.4 billion fine by the California Public Utilities Commission, Schubert Jonckheer & Kolbe LLP is actively investigating serious misconduct by PG&E Corporation's (NYSE: PCG) top executives.

The Schubert firm is investigating shareholder-derivative claims that PG&E's officers and directors intentionally or recklessly breached their fiduciary duties both prior to and following the September 9, 2010 San Bruno pipeline explosion. Yesterday's CPUC action resulted in the largest fine ever levied by a regulatory agency. That fine will be paid entirely by the company, even though PG&E's current and former officers and directors may have engaged in reckless or intentional conduct.

The Schubert firm is also investigating reports that PG&E's officers and directors breached their fiduciary duties by obstructing the National Transportation Safety Board's investigation of PG&E following the September 9, 2010 explosion.

On April 1, 2014, a federal grand jury for the Northern District of California returned an indictment of PG&E related to its conduct leading up to the pipeline explosion. The indictment charged PG&E with twelve federal felony violations of safety laws, including failing to properly identify and evaluate all potential threats to the pipeline; failing to maintain repair records for the pipeline; and failing to prioritize and assess a pipeline that faced an unstable manufacturing threat. The criminal indictment could potentially result in fines of more than six million.

On July 29, 2014, the U.S. Attorney's office announced that a federal grand jury for the Northern District of California had returned a superseding indictment charging PG&E with obstruction of the investigation of the NTSB, as well as additional violations of the Natural Gas Pipeline Safety Act of 1968 ("PSA"). According to the superseding indictment, during the course of the NTSB's investigation, PG&E produced a version of a policy outlining the way in which PG&E addressed manufacturing threats on its pipelines. PG&E later withdrew that policy claiming it was produced in error and was an unapproved draft. In fact, PG&E was operating under the so-called unapproved draft from 2009 through April 5, 2011. PG&E did not prioritize as high-risk and properly assess many of its oldest natural gas pipelines, which ran through urban and residential areas.

The superseding indictment also charges PG&E with twenty-seven counts of knowingly and willfully violating the PSA. These charges stem from PG&E's recordkeeping and pipeline "integrity management" practices. PG&E allegedly failed to address recordkeeping deficiencies concerning its larger natural gas pipelines, knowing that their records were inaccurate or incomplete. PG&E also allegedly failed to identify threats to its larger natural gas pipelines and did not take appropriate actions to investigate the seriousness of threats to pipelines when they were identified. Finally, PG&E allegedly failed to adequately reprioritize and assess threatened pipelines after the pipelines were overpressurized as required by the PSA and its regulations.

PG&E is charged with one count of obstruction of an agency proceeding in violation of 18 U.S.C. § 1505 and twenty-seven separate counts of violations of the PSA. The maximum statutory penalty for each count is a $500,000 fine, a fine based on the twice the gross gain PG&E made as a result of the violations, or twice the losses suffered by the victims. The superseding indictment alleges that PG&E derived gross gains of $281 million, and victims suffered losses of approximately $565 million

PG&E shareholders have the option to pursue a shareholder-derivative action through which shareholders may hold insider wrongdoers accountable for their actions, prevent future misconduct, and bring long-term value back to the company.

If you are a current PG&E shareholder and wish to obtain additional information about the investigation and your legal rights, please contact Willem Jonckheer either via email at [email protected] or by telephone at (415) 788-4220, or fill out the form on our website at http://classactionlawyers.com/PGE.

About Schubert Jonckheer & Kolbe
Schubert Jonckheer & Kolbe has extensive experience in prosecuting securities claims, representing investors throughout the nation in securities and shareholder lawsuits. Attorney advertising. Prior results do not guarantee similar outcomes.

Contact
Schubert Jonckheer & Kolbe LLP
Willem F. Jonckheer, Esq.
3 Embarcadero Center, Suite 1650
San Francisco, CA 94111
Tel: (415) 788-4220

http://www.schubertlawfirm.com
http://www.classactionlawyers.com

SOURCE Schubert Jonckheer & Kolbe LLP

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
FinTechs use the cloud to operate at the speed and scale of digital financial activity, but are often hindered by the complexity of managing security and compliance in the cloud. In his session at 20th Cloud Expo, Sesh Murthy, co-founder and CTO of Cloud Raxak, showed how proactive and automated cloud security enables FinTechs to leverage the cloud to achieve their business goals. Through business-driven cloud security, FinTechs can speed time-to-market, diminish risk and costs, maintain continu...
There is a huge demand for responsive, real-time mobile and web experiences, but current architectural patterns do not easily accommodate applications that respond to events in real time. Common solutions using message queues or HTTP long-polling quickly lead to resiliency, scalability and development velocity challenges. In his session at 21st Cloud Expo, Ryland Degnan, a Senior Software Engineer on the Netflix Edge Platform team, will discuss how by leveraging a reactive stream-based protocol,...
DX World EXPO, LLC., a Lighthouse Point, Florida-based startup trade show producer and the creator of "DXWorldEXPO® - Digital Transformation Conference & Expo" has announced its executive management team. The team is headed by Levent Selamoglu, who has been named CEO. "Now is the time for a truly global DX event, to bring together the leading minds from the technology world in a conversation about Digital Transformation," he said in making the announcement.
In his session at 20th Cloud Expo, Mike Johnston, an infrastructure engineer at Supergiant.io, discussed how to use Kubernetes to set up a SaaS infrastructure for your business. Mike Johnston is an infrastructure engineer at Supergiant.io with over 12 years of experience designing, deploying, and maintaining server and workstation infrastructure at all scales. He has experience with brick and mortar data centers as well as cloud providers like Digital Ocean, Amazon Web Services, and Rackspace. H...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
"The Striim platform is a full end-to-end streaming integration and analytics platform that is middleware that covers a lot of different use cases," explained Steve Wilkes, Founder and CTO at Striim, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
Everything run by electricity will eventually be connected to the Internet. Get ahead of the Internet of Things revolution and join Akvelon expert and IoT industry leader, Sergey Grebnov, in his session at @ThingsExpo, for an educational dive into the world of managing your home, workplace and all the devices they contain with the power of machine-based AI and intelligent Bot services for a completely streamlined experience.
With tough new regulations coming to Europe on data privacy in May 2018, Calligo will explain why in reality the effect is global and transforms how you consider critical data. EU GDPR fundamentally rewrites the rules for cloud, Big Data and IoT. In his session at 21st Cloud Expo, Adam Ryan, Vice President and General Manager EMEA at Calligo, will examine the regulations and provide insight on how it affects technology, challenges the established rules and will usher in new levels of diligence...
SYS-CON Events announced today that Calligo has been named “Bronze Sponsor” of SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Calligo is an innovative cloud service provider offering mid-sized companies the highest levels of data privacy. Calligo offers unparalleled application performance guarantees, commercial flexibility and a personalized support service from its globally located cloud platfor...
SYS-CON Events announced today that Calligo, an innovative cloud service provider offering mid-sized companies the highest levels of data privacy and security, has been named "Bronze Sponsor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Calligo offers unparalleled application performance guarantees, commercial flexibility and a personalised support service from its globally located cloud plat...
What sort of WebRTC based applications can we expect to see over the next year and beyond? One way to predict development trends is to see what sorts of applications startups are building. In his session at @ThingsExpo, Arin Sime, founder of WebRTC.ventures, discussed the current and likely future trends in WebRTC application development based on real requests for custom applications from real customers, as well as other public sources of information.
SYS-CON Events announced today that SkyScale will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. SkyScale is a world-class provider of cloud-based, ultra-fast multi-GPU hardware platforms for lease to customers desiring the fastest performance available as a service anywhere in the world. SkyScale builds, configures, and manages dedicated systems strategically located in maximum-securit...
21st International Cloud Expo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Me...
SYS-CON Events announced today that DXWorldExpo has been named “Global Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Digital Transformation is the key issue driving the global enterprise IT business. Digital Transformation is most prominent among Global 2000 enterprises and government institutions.
SYS-CON Events announced today that Datera, that offers a radically new data management architecture, has been named "Exhibitor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Datera is transforming the traditional datacenter model through modern cloud simplicity. The technology industry is at another major inflection point. The rise of mobile, the Internet of Things, data storage and Big...