Lawsuit: Stillwater stock awards were improper

BILLINGS — A Stillwater Mining Co. shareholder has filed a federal class action lawsuit alleging the Montana company improperly awarded its chief executive more than 104,000 shares of company stock.

The lawsuit comes as a group that includes former Gov. Brian Schweitzer wages a proxy fight to oust Stillwater's board for alleged mismanagement.

Billings Attorney Thomas Towe represents the Pennsylvania woman named as a plaintiff in the case.

He said Friday that stock awards in 2010 and 2012 to Stillwater Chairman and CEO Frank McAllister violated a shareholder-approved incentive plan. The suit also claims Stillwater and its board violated federal securities laws by not disclosing awards worth almost $1.3 million at the current share price.

Towe says he knows of no connection between client Sylvia Jurgelewicz and Schweitzer's group.