Shares in fishing company Sanford Ltd plunged nearly 9% in value yesterday after news spread it faces indictments from the United States Department of Justice.
The shares were down below $4 for the first time in months after hovering around $4.20 to $4.40.
Trading was described as "solid" with more than 40,000 shares traded yesterday, about three times the volume traded on Wednesday.
Sanford chief executive Eric Barratt said the company had learned through its legal advisers and a public release that it would be served with indictments alleging failure to maintain an accurate oil record book, and consequent illegal pollution discharges and obstruction during the investigation.
"We have been conducting our own investigations in conjunction with our legal advisers since July 2011 when the US detained the San Nikunau in American Samoa. We will be vigorously defending all the charges and continuing our efforts with authorities in American Samoa to get the vessel released to enable it to return to fishing."
Sanford took its responsibilities to respect the ocean and its resources seriously and would never permit discharges of pollutants into the ocean, he said.
Nor would Sanford obstruct any "reasonable" investigation into any allegations made against the company.
Sanford had publicly reported its environmental, economic and social performance in the form of a Sustainable Development Report for the past 10 years.
In 2011, it received an ACCA (Global Association of Chartered Certified Accountants) New Zealand award for the best sustainable development report by a corporation and an NZX-50 listed company, for its 2010 report, Mr Barratt said.
