Michael Baker Corp. (BKR) Stock Fraud
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In conjunction with our partner lawyers, we are currently investigating claims for Michael Baker Corp. shareholders who purchased shares of Michael Baker Corp. and lost money on their investment as a result of the Company's recent announcements.
Our Experienced Stock Fraud Lawyers and Attorneys Have Years of Experience Representing Shareholders in Numerous Stock Fraud Cases.
Our investigation revolves around whether Michael Baker, Inc. and certain of the Company's officers and directors made a series of materially false and misleading statements related to the Company's business and operations in violation of the Securities Exchange Act of 1934 (the ``Exchange Act''). Recent corrective disclosures have caused the price of shares of Michael Baker, Inc. to fall precipitously.
On February 22, 2008, Michael Baker, Inc. announced that it would be restating its previously issued financial statements for the first, second and third quarters of 2007, because of "errors" in those financial statements. According to the Company, the purported errors related primarily to the improper recognition of revenue on domestic managed services projects in the Company's Energy business segment during these periods.
As a result of the restatement, Michael Baker's previously reported net income of $18.0 million for the first nine months of 2007 was materially overstated by as much as $12.5 million. The Company also disclosed that it was still evaluating whether the false financial reporting would impact its previously issued audited consolidated financial statements for the year 2006.
The company said the accumulated pretax affect of the errors may entirely offset the energy segment's reported income from operations before corporate overhead for the first three quarters of 2007. The company said its audit committee will also initiate an independent investigation.
Following the February 22, 2008 announcement, Michael Baker, Inc. stock fell nearly 24%. If you are a Michael Baker, Inc. shareholder who purchased or acquired shares between May 8, 2007 and February 22, 2008, you have valuable legal rights. Please contact one of the Michael Baker, Inc. stock fraud lawyers at our firm by filling out our online form or calling 1-800-LAW INFO (1-800-529-4636).