In the Matter of FirstEnergy Corp.

Admin. Proc. File No. 3-22111

On September 12, 2024, the Commission instituted and simultaneously settled cease-and-desist proceedings (the “Order”) against FirstEnergy Corp. (“FirstEnergy” or the “Respondent”). In the Order, the Commission found that between 2017 and 2020, FirstEnergy and FirstEnergy Solutions (“FES”), through FirstEnergy Service Company, made payments totaling approximately $60 million to Generation Now (“GenNow”) in exchange for specific official action for the benefit of FirstEnergy and FES. GenNow, an Internal Revenue Code Section 501(c)(4) entity, was controlled by Larry Householder, a member of the Ohio House of Representatives who was elected as its speaker in January 2019. FirstEnergy made payments to a 501(c)(4) entity to help conceal the source of the payments. The Commission found that, on July 23 and 24, 2020, FirstEnergy violated the antifraud provisions of the Securities Act and the Exchange Act by making misrepresentations about its role in the political corruption scheme to investors in an earnings call and in a filing with the Commission. Additionally, FirstEnergy failed to disclose material related party transactions with respect to payments FirstEnergy made to a 501(c)(4) organization funded and controlled in part by certain former FirstEnergy executives. Further, the Commission found that FirstEnergy failed to keep accurate books and records and to devise and maintain an adequate system of internal accounting controls with respect to payments to organizations organized under Section 501(c)(4) of the Internal Revenue Code and the identification and disclosure of material related party transactions. The Commission ordered FirstEnergy to pay a $100,000,000.00 civil money penalty to the Commission and created a Fair Fund, pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002, so the penalty paid can be distributed to harmed investors (the “Fair Fund”).See the Commission’s Order: Release No. 33-11302.

The Fair Fund includes the $100,000,000.00 paid by the Respondent. The Fair Fund and has been deposited in a Commission-designated account at the U.S. Department of the Treasury, and any accrued interest will be added to the Fair Fund.

On September 30, 2025, the Commission issued an order appointing Heffler, Radetich & Saitta, LLP, as the Tax Administrator of the Fair Fund. See the Commission’s Order: Release No. 34-104138.

On December 17, 2025, the Commission issued an order appointing Epiq Class Action and Claims Solutions, Inc., as the Fund Administrator to oversee the administration and distribution of the Fair Fund and set the administrator’s bond amount. See the Commission’s Order: Release No. 34-104425

For more information, please contact the Commission:

Office of Distributions
Email: ENFOfficeofDistributions@sec.gov