According to the law firm press release, SCANA is a $7.3 billion energy-based holding company headquartered in Cayce, S.C. SCANA is principally engaged, through its subsidiaries, in regulated electric and natural gas utility operations in South Carolina, North Carolina and Georgia. Over the past decade, SCANA has spent more than $9 billion on a project to build two nuclear reactors at the V.C. Summer Nuclear Station in South Carolina (the "Nuclear Project"). Despite this massive expenditure – financed by public investors as well as by raising customers' electrical rates nine times – SCANA recently announced that it would abandon the Nuclear Project. Evidence then came to light that, for at least the prior 18 months, SCANA appeared to know of severe problems plaguing the Nuclear Project.
The complaint alleges that during the Class Period, defendants made false and misleading statements and/or failed to disclose adverse information regarding the construction of the Nuclear Project, assuring investors that costs spending was prudent and substantial progress was being made, even when cost overruns and other delays began to materialize. As a result of defendants' false statements and/or omissions, SCANA's common stock traded at artificially inflated prices during the Class Period.