Language About Potential "Criminal" Liability In FirstEnergy's Latest 8-K Not New
November 02,2020
In a story today, Cleveland.com reported in a headline that, "In federal filing, FirstEnergy officials say criminal charges possible from federal House Bill 6 bribery probe."
Cleveland.com's story cited an 8-K filed today by FirstEnergy which stated, with regards to the HB 6 investigations, "we are unable to predict the potential for any additional investigations, litigation or regulatory actions, any of which could exacerbate these risks or expose us to potential criminal or civil liabilities, sanctions or other remedial measures, and could have a material adverse effect on our reputation, business, financial condition, results of operations, liquidity or cash flows."
However, that language, with respect to potential criminal liability, is the same as used in FirstEnergy's most recent 10-Q filed back in August, which had stated, "Moreover, we are unable to predict the potential for any additional investigations, litigation or regulatory actions, any of which could exacerbate these risks or expose us to potential criminal or civil liabilities, sanctions or other remedial measures."
The language about reputational risk is new, however.