The head of a company seeking to build a nuclear power plant in Idaho has agreed to pay $450,000 to resolve a lawsuit with a group of angry shareholders.
Shareholders of Alternate Energy Holdings Inc. sued company president Don Gillispie in late 2010, claiming he lied to investors about his compensation and hired stock promoters to manipulate the company’s trading value.
A lawyer representing the shareholders said an agreement was reached in mediation last week calling on Gillispie to pay $450,000 by the end of June or face a $2 million penalty judgment.
The company is also embroiled in a lawsuit with the Securities and Exchange Commission over similar allegations. The case is scheduled for trial in October.
Gillispie has denied any wrongdoing in the SEC case.