August 1, 2005

Reliant Settles

Reliant Energy, Inc. (NYSE: RRI), a Houston-based energy provider, has announced the preliminary settlement of the securities class action pending against the company in the S.D. of Tex. The case alleges that from 1999 to 2001 the company engaged in "round trip" energy deals to inflate its revenues and trading volume. The settlement is for $68 million, of which $61.5 million will be paid for by Reliant's insurance carriers. In addition, co-defendant Deloitte & Touche will make a settlement payment of $7 million.

Posted by Lyle Roberts at August 1, 2005 7:36 PM | TrackBack
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