Probe Continues Into Chesapeake Energy Corporation (CHK)’s CEO

Probe Continues Into Chesapeake Energy Corporation (CHK)’s CEO

Chesapeake Energy Corporation (NYSE:CHK) CEO Aubrey McClendon’s financial dealings are still under investigation by the company’s board of directors, in spite of a request from the company’s largest shareholder to wrap it up in weeks rather than months. The probe began in April, and it doesn’t look like it will wrap up for at least a couple more weeks.

Probe Continues Into Chesapeake Energy Corporation (CHK)’s CEO

McClendon borrowed hundreds of millions of dollars from firms that do business with Chesapeake Energy Corporation (NYSE:CHK). The Wall Street Journal cites an anonymous source close to the investigation who said it could last into the middle of January but probably not result in the board pushing out McClendon, who stepped down as chairman of the board but remains the company’s CEO and still serves on the board.

ValueWalk’s January 2021 Hedge Fund Update Now Out!

valuewalk Q4 2020 hedge fund letters to investorsValueWalk's Hedge Fund Update newsletter for the month of January 2021. Please fund a full PDF for your use below. The PDF can be viewed online, downloaded or printed out. Renaissance’s Medallion Fund Surged 76% in 2020 SORRY! This content is exclusively for paying members. SIGN UP HERE If you are subscribed and having an Read More

The Journal reported that some shareholders are concerned about a conflict of interest in the investigation, which is being headed up by V. Burns Hargis, who supervised McClendon’s financial dealings in relationship to Chesapeake Energy Corporation (NYSE:CHK). Shareholders are especially concerned by the fact that the probe is taking so long to complete.

Thus far spokespeople for McClendon, Hargis or Southeastern Asset Management Inc., Chesapeake Energy’s largest shareholder, have not commented on the investigation.

Shares of Chesapeake Energy Corporation (NYSE:CHK) are down more than 25 percent this year. They continued to decline on Friday, losing another 2 percent. A look ahead at next year for the corporation does not look bright either.

As we reported last week, the company continues to have financial problems, even failing to pays its bills to Otis Eastern, one of the company’s major contractors.

No posts to display