Home » Markets » South Carolina utility sued over billions in 'nuclear fraud': Securities officials
South Carolina utility sued over billions in 'nuclear fraud': Securities officials
McDonald’s customers victimized in Monopoly game fraud: Ed Rensi
Former McDonald’s CEO Ed Rensi discusses the facts behind McMillion$, HBO’s documentary series about the McDonald’s Monopoly scandal.
COLUMBIA, S.C. (AP) — Two former executives at a South Carolina utility lied repeatedly to regulators and investors about the progress of construction of two nuclear reactors taking more than a billion dollars out of the pockets of investors and ratepayers, federal securities officials said.
Continue Reading Below
The Securities and Exchange Commission sued SCANA Corp., its subsidiary South Carolina Electric & Gas along with the utility's former CEO Kevin Marsh and Executive Vice President Stephen Byrne on Thursday.
Dominion Energy of Virginia bought the South Carolina utility last year and was also included in the suit.
Criminal charges have not been filed.
UTILITY TO PAY $53M FOR BLASTS THAT DAMAGED HOMES, KILLED 1
“By regularly communicating to the public that the project was progressing, SCANA misled investors and others as to the true status of the project and failed to disclose material information revealing that the schedule was unreliable, significant additional delays were likely to occur, and the critical tax credits were at risk," federal attorneys wrote in the complaint.
The intricately detailed 87-page brief runs through the history of the project started in 2008 and how Marsh and Byrne never wavered from saying the two reactors being built at the V.C. Summer site north of Columbia would be finished by the end of 2020 — a deadline to get $1.4 billion in federal tax credits needed to keep the $10 billion project from overwhelming the utility.
Marsh and Byrne lied to regulators, investors on earnings calls and in press releases and presentations numerous times, according to the complaint.