A Caterpillar shareholder has filed suit in Chicago federal court demanding a jury trial for damages after federal authorities raided three of the company's Peoria-area facilities on Thursday.
Jacob Newman is seeking class action status for a suit filed Friday against Caterpillar, CEO Jim Umpleby, chairman and former CEO Doug Oberhelman and chief financial officer Bradley Halverson. Newman claims he and other shareholders have suffered "significant losses and damages" as a result of the alleged illegal acts law enforcement is investigating.
Federal law enforcement agencies seized documents and digital files related to Caterpillar's Swiss subsidiary, CSARL. Caterpillar is under investigation for allegedly funneling money to CSARL to avoid paying a higher U.S. tax rate on profits made within the country.
Caterpillar stock prices closed at $95.12 on the New York Stock Exchange on Friday, up 76 cents from opening price. However, prices tumbled by almost 5 percent on Thursday.
A Caterpillar spokesperson said the company does not comment on pending litigation.
Read the full lawsuit here.