Texas energy company Exxon Mobil has been sued for deceiving investors about the impact of climate change on the company’s profitability.
The lawsuit accuses Exxon Mobil of lying to shareholders by claiming that the company will not lose money due to climate change or climate change regulations despite evidence to the contrary.
New York’s attorney general stated that the company has kept two sets of financial records ––one accounting for climate change regulations and the other undercutting climate-related costs –– in order to downplay the regulations’ impact.
The company is accused of claiming that its oil and gas reserves will continue to be profitable despite knowing this may prove untrue due to climate policy changes and national fossil fuel consumption.
Shareholders stand to lose between $476 million and $1.6 billion if the company has been dishonest, according to the Associated Press.
Exxon has denied the allegations.