SAN DIEGO and HOUSTON, April 2, 2013 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP is investigating whether officers and directors of Harvest Natural Resources, Inc. (NYSE: HNR) breached their fiduciary duties to shareholders.
Robbins Arroyo LLP Investigates Potential Accounting Errors and Misstated Financial Results in Harvest Natural's Previously Filed Financial Statements for 2010, 2011, and 2012
Robbins Arroyo LLP is investigating whether Harvest Natural's financial reporting for fiscal years 2010, 2011, and 2012 was false and misleading. On March 18, 2013, Harvest Natural, an independent energy company, engaged in the acquisition, exploration, development, production, and disposition of oil and natural gas properties, reported that it would be unable to timely file its Annual Report for the fiscal year ended December 31, 2012. During the preparation of the company's financial statements, Harvest Natural identified errors that require the company to revise and possibly restate its financial statements for certain periods in 2010, 2011, and 2012. Further, Harvest Natural disclosed that, because of its liquidity position, its auditors would include a "going concern qualification" in their opinion. On this news, Harvest Natural's stock declined 33%, to close at $3.70 per share on March 19, 2013.
Robbins Arroyo LLP Investigates Failed Internal Controls and Potential Improper Public Statements by Harvest Natural's Officers and Directors
In addition to investigating the potentially false and misleading statements, Robbins Arroyo LLP is also reviewing whether certain of Harvest Natural's officers and directors failed to implement adequate internal controls to ensure proper accounting. Specifically, Robbins Arroyo LLP is investigating whether these fiduciaries instituted or permitted inadequate internal controls that allowed the company to make improper statements concerning its: (i) capitalization of certain lease maintenance costs; (ii) capitalization of certain internal selling, general, and administrative costs; and (iii) the presentation of cash flow items and certain long-lived assets.
Robbins Arroyo LLP highlights that Harvest Natural shareholders have the option to pursue a shareholder derivative action through which shareholders aim to hold insider wrongdoers accountable for their actions, prevent future misconduct, and bring long-term value back to the company. Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, DDonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in securities litigation and shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested. For more information, please go to http://www.robbinsarroyo.com.
Attorney Advertising. Past results do not guarantee a similar outcome.
SOURCE Robbins Arroyo LLP