Robbins Arroyo LLP: Northern Oil and Gas, Inc. (NOG) Misled Shareholders According to a Recently Filed Class Action
August 23, 2016 (San Diego, CA & Wayzata, MN) – Shareholder rights law firm Robbins Arroyo LLP announces that a class action complaint was filed against Northern Oil and Gas, Inc. (NYSE MKT: NOG) in the U.S. District Court for the Southern District of New York. The complaint is brought on behalf of all purchasers of Northern securities between March 1, 2013 and August 15, 2016, for alleged violations of the Securities Exchange Act of 1934 by Northern’s officers and directors. Northern is an independent energy company that engages in the acquisition, exploration, development, and production of oil and natural gas properties in the United States.
Northern Accused of Misleading Investors About Its Compliance Inadequacies
According to the complaint, throughout the class period, Northern submitted several filings with the U.S. Securities and Exchange Commission (“SEC”) detailing the company’s Code of Business Conduct and Ethics (the “Code”). The Code states that “senior executives and financial officers hold an important and elevated role in maintaining a commitment to (i) honest and ethical conduct, (ii) full, fair, accurate, timely and understandable disclosure in the Company’s public communications, and (iii) compliance with applicable government rules and regulations.” Northern’s filings also certified that the financial information was accurate and disclosed any material changes to the company’s internal control over financial reporting.
However, the complaint alleges that Northern officials failed to disclose that the company’s compliance policies with respect to SEC regulations and the Code were inadequate to detect or prevent misconduct by Northern’s officers. Consequently, the company’s Chief Executive Officer, Michael Reger, was able to engage in illegal stock manipulation during his tenure at Northern and was thus unfit to serve as Northern’s CEO. On August 16, 2016, Northern fired Reger after he revealed to the company that he had received a Wells Notice from the SEC and faced federal sanctions in connection with the SEC’s investigation of 2012 trading patterns in the securities of Dakota Plains Holdings, Inc., a company in which Reger initially invested in 2008. On this news, Northern stock fell $0.25 per share, or 6.28%, to close at $3.73 per share on August 16, 2016.
Northern Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, or you can complete the form below and we will contact you directly.
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