Law firm Pomerantz has said that it has filed a class action lawsuit against Canadian project developer Northern Dynasty Minerals and certain of its officers.
The case, filed in a US court, is on behalf of those who acquired securities in the company from December 21, 2017 through November 25, 2020.
Pomerantz alleges that throughout the class period, the defendants made" materially false and misleading statements", and failed to disclose adverse facts about the business, operational, and compliance policies.
Specifically, Pomerantz claims that Northern Dynasty made false and/or misleading statements and failed to disclose to investors that the Pebble project, in Alaska, was contrary to Clean Water Act guidelines and to the public interest, company planned that the Pebble project would be larger in duration and scope than conveyed to the public, as a result, the company's permit applications for the Pebble project would be denied by the US Army Corps of Engineers (USACE).
When the USACE on November 25, rejected Northern Dynasty’s permit applications related to the Pebble project, the company’s share price fell 50%, to close at $0.40 a share.