NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into LSB Industries, Inc. (NYSE: LXU).
Throughout November 2014 and June 2015, the Company repeatedly assured shareholders that its most significant construction project was “on time” and “on budget.” Then, between July and November 2015, the Company revealed significant increases to the estimated costs and completion time on three different occasions, expanding the total capital expenditures by more than $335 million. The Company’s actions, directed by its executives, have exposed it to substantial financial losses as well as significant litigation, including a lawsuit by a subcontractor to the project alleging, among other things, the Company’s role in misleading prospective lenders as to the true progress and cost of the project by directing that work be improperly performed, which in turn resulted in even higher expenses and longer delays in order to remedy. The Company has also been sued in a securities class action lawsuit for failing to disclose material information, violating federal securities laws. The court in that case denied the Company’s motion to dismiss, allowing the case to move forward.
KSF’s investigation is focusing on whether LSB’s officers and/or directors breached their fiduciary duties to LSB’s shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of LSB shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn (email@example.com), or visit https://www.ksfcounsel.com/cases/nyse-lxu/ to learn more.
About Kahn Swick & Foti, LLC
KSF, whose partners include the Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities, antitrust and consumer class actions, along with merger & acquisition and breach of fiduciary litigation against publicly traded companies on behalf of shareholders. The firm has offices in New York, California and Louisiana.
To learn more about KSF, you may visit www.ksfcounsel.com.