Exxon Mobil Corporation

Period: 11/06/2019 to 01/14/2021
Lead Plaintiff Deadline: 03/29/2021

SUMMARY OF CASE:

A securities class action has been filed against Exxon Mobil Corporation (XOM) behalf of all persons and entities purchased or otherwise acquired Exxon Mobil  securities between November 6 2019 through January 14, 2021.  This case has been filed in the SDC – Texas (Northern).

The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and failed to disclose material adverse facts about the Exxon Mobil Corporation’s (“Exxon” or the “Company”) business, operational, and compliance policies. Specifically, defendants made false and/or misleading statements and failed to disclose to investors that: (i) Exxon forced its employees to use unrealistic assumptions regarding the timelines for well drilling in the Permian Basin; (ii) the foregoing assumptions served to artificially inflate the value of the Company’s well operations in the Permian Basin; (iii) the foregoing conduct, when revealed, subjected Exxon to a heightened risk of regulatory investigation and oversight; and (iv) as a result, the Company’s public statements were materially false and misleading at all relevant times.

On January 15, 2021, pre-market, the Wall Street Journal published an article entitled “Exxon Draws SEC Probe Over Permian Basin Asset Valuation.” The article reported that the SEC probe stemmed from a whistleblower complaint that, during a 2019 internal assessment, workers were forced to use unrealistic assumptions about how quickly wells in the Permian Basin could be drilled to reach a higher valuation, and that at least one worker who complained about the assumptions was fired.

On this news, Exxon’s stock price fell $2.42 per share, or 4.81%, to close at $47.89 per share on January 15, 2021.