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
Keeping pace with advancements in software delivery processes and tooling is taxing even for the most proficient organizations. Point tools, platforms, open source and the increasing adoption of private and public cloud services requires strong engineering rigor - all in the face of developer demands to use the tools of choice. As Agile has settled in as a mainstream practice, now DevOps has emerged as the next wave to improve software delivery speed and output. To make DevOps work, organization...
My team embarked on building a data lake for our sales and marketing data to better understand customer journeys. This required building a hybrid data pipeline to connect our cloud CRM with the new Hadoop Data Lake. One challenge is that IT was not in a position to provide support until we proved value and marketing did not have the experience, so we embarked on the journey ourselves within the product marketing team for our line of business within Progress. In his session at @BigDataExpo, Sum...
The modern software development landscape consists of best practices and tools that allow teams to deliver software in a near-continuous manner. By adopting a culture of automation, measurement and sharing, the time to ship code has been greatly reduced, allowing for shorter release cycles and quicker feedback from customers and users. Still, with all of these tools and methods, how can teams stay on top of what is taking place across their infrastructure and codebase? Hopping between services a...
Virtualization over the past years has become a key strategy for IT to acquire multi-tenancy, increase utilization, develop elasticity and improve security. And virtual machines (VMs) are quickly becoming a main vehicle for developing and deploying applications. The introduction of containers seems to be bringing another and perhaps overlapped solution for achieving the same above-mentioned benefits. Are a container and a virtual machine fundamentally the same or different? And how? Is one techn...
SYS-CON Events announced today that MobiDev, a client-oriented software development company, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex softw...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
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, will discuss 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,
Interoute has announced the integration of its Global Cloud Infrastructure platform with Rancher Labs’ container management platform, Rancher. This approach enables enterprises to accelerate their digital transformation and infrastructure investments. Matthew Finnie, Interoute CTO commented “Enterprises developing and building apps in the cloud and those on a path to Digital Transformation need Digital ICT Infrastructure that allows them to build, test and deploy faster than ever before. The int...
Whether you like it or not, DevOps is on track for a remarkable alliance with security. The SEC didn’t approve the merger. And your boss hasn’t heard anything about it. Yet, this unruly triumvirate will soon dominate and deliver DevSecOps faster, cheaper, better, and on an unprecedented scale. In his session at DevOps Summit, Frank Bunger, VP of Customer Success at ScriptRock, discussed how this cathartic moment will propel the DevOps movement from such stuff as dreams are made on to a practic...
ChatOps is an emerging topic that has led to the wide availability of integrations between group chat and various other tools/platforms. Currently, HipChat is an extremely powerful collaboration platform due to the various ChatOps integrations that are available. However, DevOps automation can involve orchestration and complex workflows. In his session at @DevOpsSummit at 20th Cloud Expo, Himanshu Chhetri, CTO at Addteq, will cover practical examples and use cases such as self-provisioning infra...
"My role is working with customers, helping them go through this digital transformation. I spend a lot of time talking to banks, big industries, manufacturers working through how they are integrating and transforming their IT platforms and moving them forward," explained William Morrish, General Manager Product Sales at Interoute, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
The cloud competition for database hosts is fierce. How do you evaluate a cloud provider for your database platform? In his session at 18th Cloud Expo, Chris Presley, a Solutions Architect at Pythian, gave users a checklist of considerations when choosing a provider. Chris Presley is a Solutions Architect at Pythian. He loves order – making him a premier Microsoft SQL Server expert. Not only has he programmed and administered SQL Server, but he has also shared his expertise and passion with budd...
Apache Hadoop is emerging as a distributed platform for handling large and fast incoming streams of data. Predictive maintenance, supply chain optimization, and Internet-of-Things analysis are examples where Hadoop provides the scalable storage, processing, and analytics platform to gain meaningful insights from granular data that is typically only valuable from a large-scale, aggregate view. One architecture useful for capturing and analyzing streaming data is the Lambda Architecture, represent...
SYS-CON Events announced today that Ocean9will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Ocean9 provides cloud services for Backup, Disaster Recovery (DRaaS) and instant Innovation, and redefines enterprise infrastructure with its cloud native subscription offerings for mission critical SAP workloads.
With billions of sensors deployed worldwide, the amount of machine-generated data will soon exceed what our networks can handle. But consumers and businesses will expect seamless experiences and real-time responsiveness. What does this mean for IoT devices and the infrastructure that supports them? More of the data will need to be handled at - or closer to - the devices themselves.