Suit accuses utility of misleading investors on now-defunct nuke project

This Sept. 18, 2017 photo shows the partially built V.C. Summer Nuclear Generating Station near Jenkinsville, S.C. On Wednesday, Sept. 27, 2017, the boards of state-owned Santee Cooper and the private South Carolina Electric & Gas approved the sale of their share of a $2.2 billion, five-year settlement over the failed nuclear project so that they can recover nearly 92 percent of the cash immediately. (High Flyer (c) 2017)

COLUMBIA, S.C. — A new lawsuit accuses one of the co-owners of a defunct nuclear construction project in South Carolina of defrauding its investors and lying to them about the venture’s progress.

The lawsuit filed in federal court late Wednesday accuses SCANA and some of its chief executives of artificially driving up their stock prices by “issuing false and misleading statements to investors” about the status of a now-scuttled nuclear reactor project at V.C. Summer.

SCANA subsidiary South Carolina Electric & Gas Co. and state-owned utility Santee Cooper halted the project this summer after chief contractor Westinghouse filed bankruptcy.

The suit seeks class-action status on behalf of anyone who acquired SCANA stock between January 2016 and the first part of this month. A SCANA spokesman didn’t immediately return an email seeking comment.

 

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