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Business

Vestas facing large US compensation payout

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March 18th, 2014


This article is more than 10 years old.

Wind turbine producer stands accused of providing false and misleading information

The Danish wind turbine giant Vestas has reportedly decided to shell out millions of kroner to settle out of court in a case involving a group of unsatisfied US investors.

Henry Rosen, a partner at law firm Robbins Geller Rudman & Dowd  who is one of the eleven lawyers representing the plaintiffs, thinks there is a good chance that the three-year conflict between the wind turbine producer and the angry investors will end in a settlement.

“I am an optimist in terms of something happening in the period leading up to the next status conference in six weeks’ time,” Rosen said according to Jyllands-Posten newspaper.

READ MORE: Vestas proving popular in the United States

Misled shareholders
Exactly how much compensation the plaintiffs are seeking from Vestas has been kept quiet, but Jyllands-Posten reported that they are demanding upwards of 270 million kroner.

The issue between Vestas and the US shareholders flared up in November 2010 when the company changed its accounting methods. This affected the way a 21.6 billion kroner sale was accounted and led to a significant drop in share price.

The Vestas management was subsequently accused of providing false turnover and profit information in 2009 and 2010, thus misleading Vestas stock buyers.


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A survey carried out by Megafon for TV2 has found that 71 percent of parents have handed over children to daycare in spite of them being sick.

Moreover, 21 percent of those surveyed admitted to medicating their kids with paracetamol, such as Panodil, before sending them to school.

The FOLA parents’ organisation is shocked by the findings.

“I think it is absolutely crazy. It simply cannot be that a child goes to school sick and plays with lots of other children. Then we are faced with the fact that they will infect the whole institution,” said FOLA chair Signe Nielsen.

Pill pushers
At the Børnehuset daycare institution in Silkeborg a meeting was called where parents were implored not to bring their sick children to school.

At Børnehuset there are fears that parents prefer to pack their kids off with a pill without informing teachers.

“We occasionally have children who that they have had a pill for breakfast,” said headteacher Susanne Bødker. “You might think that it is a Panodil more than a vitamin pill, if it is a child who has just been sick, for example.”

Parents sick and tired
Parents, when confronted, often cite pressure at work as a reason for not being able to stay at home with their children.

Many declare that they simply cannot take another day off, as they are afraid of being fired.

Allan Randrup Thomsen, a professor of virology at KU, has heavily criticised the parents’ actions, describing the current situation as a “vicious circle”.

“It promotes the spread of viruses, and it adds momentum to a cycle where parents are pressured by high levels of sick-leave. If they then choose to send the children to daycare while they are still recovering, they keep the epidemic going in daycares, and this in turn puts a greater burden on the parents.”