Being sued by shareholders, the forest fire suffered significant losses! Hawaiian Power Company's stock price plummeted by nearly 70% within a month
On the 24th local time, the Maui County government in Hawaii, USA, sued Hawaiian Electric Power Company, accusing the company of failing to cut off power due to negligence during a hurricane and dry weather, resulting in a devastating forest fire.
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The Maui County government stated in the indictment that the Hawaiian Power Company has a responsibility to maintain and repair high-voltage lines and poles, and to appropriately trim and maintain vegetation to prevent contact with high-voltage lines and other power facilities. The government of Maui County stated that the National Weather Service had warned of the risk of wildfires on Maui Island before the fire occurred, as high temperatures, dryness, and strong winds created conditions for the fire. A video released by local witnesses shows that power poles were broken due to the hurricane, and sparks generated by high-voltage lines caused a fire. The Maui County government pointed out that if Hawaiian Power Company had listened to warnings from the meteorological department and cut off power during the expected strong wind gusts, the serious and catastrophic losses caused by the wildfire could have been easily avoided.
![Being sued by shareholders, the forest fire suffered significant losses! Hawaiian Power Company's stock price plummeted by nearly 70% within a month](https://a5qu.com/upload/images/96b8d5ef4b3929f67e4af9b75ad9f670.jpg)
Reuters reported that the amount of compensation demanded in this lawsuit is unknown, including direct property damage suffered by Maoi County in the fire and firefighting costs. According to preliminary estimates, the fire destroyed the famous seaside resort town of La Haina on the island, causing losses of up to 5 billion US dollars.
On the 24th, shareholders of Hawaii Electric Power Company also filed a lawsuit in the San Francisco Federal Court, accusing the company of failing to disclose important information about its wildfire prevention and safety agreements. Due to the company's illegal behavior and negligence, the stock price plummeted and shareholders suffered significant losses. It is understood that the stock price of Hawaii Electric Power Company has fallen by nearly 70% within a month.