El Paso Reaches $16.8M Agreement In Shareholder Suit

Law360, New York (May 22, 2006, 12:00 AM EDT) -- El Paso Corp. has reached a $16.8 million agreement to resolve a shareholder derivative suit, alleging that the natural gas producer and pipeline company’s senior officers and directors violated management and oversight duties in California.

The formation of the settlement fund is pending state court approval in the District Court of Harris County in Texas, according to the company’s filing Friday with the U.S. Securities and Exchange Commission.

Insurers will contribute to El Paso’s fund through the company’s directors and officers liability program, according to the...
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