SUMMARY
- Maui County accuses Hawaiian Electric of causing deadly wildfires; company denies claims.
- Despite allegations, Hawaiian Electric stocks surge by a whopping 40%.
- Investigations are ongoing, but the Maui wildfire marks the deadliest U.S. incident in over 100 years
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Hawaiian Electric is in the spotlight after being accused by Maui County for being the catalyst behind devastating wildfires that claimed over 100 lives and resulted in damages in the billions.
The company rebuffs the claims, pointing to evidence that while strong winds did knock over power lines, causing an initial fire in Lahaina, the electricity had already been turned off for a substantial period when a second, more disastrous fire erupted.
Stocks for Hawaiian Electric skyrocketed by an impressive 40% this Monday, even amidst the allegations. CEO Shelee Kimura expressed dismay over Maui County's hasty legal actions, noting the premature nature of the lawsuit given that their own investigations aren't complete. Kimura warned that the lawsuit might force them to uncover the county's possible negligence in the tragic events.
At 6:30 a.m., in the town's historic heart, a minor brush fire was ignited due to the fallen power lines. This blaze was close to Lahaina Intermediate School. The Maui County Fire Department swiftly took action and announced the fire's containment. However, later that day, at around 3 p.m., Hawaiian Electric personnel, while working on the repairs, spotted another fire about 75 yards from the previous location. The utility emphasized that at this time, power had been off for quite a while.
Sadly, the second fire spiraled out of control and the efforts of the county fire department were in vain as it rampaged towards Lahaina. The wildfire's aftermath now sees Hawaiian Electric under legal pressure, with multiple lawsuits being thrown their way. Fitch, a renowned ratings agency, has also demoted the company's credit status to junk, pointing out that potential liabilities of over $3.8 billion could threaten the company's very existence.
In the ongoing quest for clarity, the Maui wildfire, now the deadliest in the U.S. in over a century, is under scrutiny by several official bodies, both state and federal. The ATF, inclusive of an electrical engineer, has been deployed for a detailed investigation. Hawaiian Electric, for its part, asserts that its records can prove that there was no electrical flow when the second fire emerged.
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