U.S. Sen. Bill Nelson (D., Fla.) plans to ask the Department of Justice to begin a probe of Chesapeake Energy Corp. (CHK) for possible price manipulation and fraud, Reuters reported Wednesday, citing an aide to the Florida Democrat.
Nelson's action comes as a response to a Reuters report that Chesapeake Chief Executive Aubrey McClendon ran a separate, $200 million hedge fund, trading in commodities, according to the report.
Following controversy about about McClendon's use of personal shares in company wells as collateral against more than $1 billion in loans, he decided to step down from his chairman role.
Full story at http://www.reuters.com/article/2012/05/02/chesapeake-doj-probe-idUSL1E8G2MNB20120502
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