Dune Energy Files Chapter 11 Bankruptcy Protection
The White Law Group continues to investigate the liability that brokerage firms may have for recommending investments in oil and gas companies such as Dune Energy, including bond offerings.
Dune Energy, Inc. is an independent exploration and development company with operations along the Louisiana and Texas Gulf Coasts. According to their website, “Dune’s strategy is to grow organically through low-risk exploitation and development and higher risk exploration of its existing properties and acreage.”
The prolonged decrease in oil and gas prices has led to a number of bankruptcy this year. The Wall Street Journal reports that Dune Energy Inc. filed for bankruptcy protection following the collapse of a proposed merger with Eos Petro Inc.
Update on Dune Energy
According to a recent SEC order, Dune Energy, Inc. is delinquent in its periodic filings with the Commission. The company has not filed any periodic reports since it filed a Form 10-Q for the period ended September 30, 2014, which allegedly reported a net loss of over $39.4 million for the prior nine months.
Oil and gas investments are generally speculative and high risk ventures. These types of investments are often better suited for sophisticated and institutional investors that can afford total loss of their investment. Even bonds in the oil and gas industry, which many investors think of as “safe,” are not without risk.
Brokers that fail to disclose the risks associated with investment recommendations and mislead investors into purchase speculative oil and gas ventures may be liable of making unsuitable investment recommendations and held responsible for investment losses.
To determine whether you may be able to recover investment losses incurred in Dune Energy please contact The White Law Group at 888-637-5510.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group, visit https://whitesecuritieslaw.com.