Harwood Feffer LLP announces that a class action lawsuit has been commenced in the United States District Court for the Eastern District of Tennessee on behalf of purchasers of the common stock of Miller Energy Resources, Inc. ("Miller") (NYSE: Mill) between February 1, 2010 and August 1, 2011, inclusive (the "Class Period"). The action is entitled, Ward v. Miller Energy Resources, Inc., et al., Case No. 3:11-cv-391.
No class has yet been certified in the action. Class members will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. If you wish to serve as lead plaintiff, you must move the Court no later than October 11, 2011. If you have any questions concerning this Notice or your rights with respect to this action, you may contact Robert I. Harwood at rharwood@hfesq.com or Daniella Quitt at dquitt@hfesq.com or visit the firm's website at www.hfesq.com.
The Complaint alleges violations of the federal securities laws against Miller and certain of its officers and/or directors for issuing materially false and misleading financial statements to investors. On December 16, 2009, Miller announced that it had acquired certain Alaskan oil and gas assets from Pacific Energy Alaska Operating LLC and Pacific Energy Alaska Holdings, LLC through a Chapter 11 U.S. Bankruptcy proceeding in Delaware (the "Acquisition"). Beginning on February 1, 2010, Miller publicly issued false and misleading statements and material omissions concerning the value of the Alaskan oil and gas assets that Miller acquired in the Acquisition, and the reliability of Miller's quarterly and annual financial statements filed with the Securities and Exchange Commission. Specifically, defendants misrepresented and/or failed to disclose, among other things, that: (1) the Alaskan oil and gas assets it acquired from the Acquisition were worth substantially less in value than publicly reported by Miller; (2) Miller failed to properly record the state tax credits expected from its Alaskan oil and gas operations; (3) Miller failed to properly record depletion, depreciation and amortization expenses related to leasehold costs, wells and equipment, fixed assets and asset retirement obligations; (4) Miller failed to properly calculate and record sufficient compensation expense on certain equity rewards; (5) Miller failed to properly calculate the liability for certain derivative instruments; (6) Miller failed to properly record income taxes; (7) as a result of the above, Miller's financial statements were not prepared in accordance with GAAP; (8) Miller lacked adequate internal and financial controls; (9) as a result of the above, Miller's financial statements were materially false and misleading; and (10) as a result of the above, Miller's financial statements could no longer be relied upon and had to be restated.
On July 29, 2011, Miller announced that its consolidated balance sheets at July 31, 2010, October 31, 2010, and January 31, 2011, and its consolidated statements of operations and cash flows for the quarterly and year to date periods then ended, could no longer be relied upon as a result of errors in those financial statements. As a result of Miller's accounting misstatements, which Miller deemed to result from material weaknesses in its internal controls over financial reporting, Miller was compelled to restate its financial statements for the quarterly periods ended July 30, 2010, October 31, 2010 and January 31, 2011. Miller's restated financial statements reported, inter alia, a substantial decrease in oil and gas revenue, decrease in the value of its assets from oil and gas properties, increase in total liabilities, and increase in losses from operations for each of those three quarterly periods ending on those dates, as compared to what Miller reported for those same quarterly periods in its previously reported financial statements.
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Contacts:
Harwood Feffer LLP
Robert I. Harwood, Esq.
Daniella
Quitt, Esq.
Roy Shimon, Esq.
877-935-7400
rharwood@hfesq.com
dquitt@hfesq.com
rshimon@hfesq.com
http://www.hfesq.com