An investigation on behalf of investors in shares of Miller Energy Resources, Inc (NYSE: MILL) over possible Violations of Securities Laws by Miller Energy Resources and others was announced.

The investigation by a law firm focuses on possible shareholder claims based on potential violations of the federal securities laws. Specifically the investigation concerns whether Miller Energy Resources, Inc or others may have violated securities laws by issuing a series of statements between September 13, 2010, and August 1, 2011, regarding its business, its prospects and its operations that were materially false and misleading at the time they were made.
Miller Energy Resources 12month Total Revenue rose over the past four filing periods from $1.34million, respectively $0.83million to $5.87million reported on April 30, 2010. However, Miller Energy Resources, Inc reported over the same time frame an increase in its Net Income from a Net Loss of $1.54million, respectively $2.44million to a Net Income of $249.45million.

Shares of Miller Energy Resources, Inc (Public, NYSE: MILL) rose to over $8 on July 2011 and then fell on August 1, 2011 to as low as $3.20 per shares.

On August 1, 2011, Miller Energy Resources, Inc announced that its Audit Committee of the Board of Directors of Miller Energy Resources, Inc. determined that our consolidated balance sheet at April 30, 2011, and our consolidated statements of operations, stockholders equity and cash flows for the year then ended, as well as the report of KPMG LLP dated July 29, 2011 on such statements, all as included in our 2011 10-K, should not be relied upon.
Miller Energy Resources also said that its Audit Committee of the Board of Directors of Miller Energy Resources, Inc. determined that our unaudited consolidated balance sheets at January 31, 2011, October 31, 2010 and July 31, 2010 and our unaudited consolidated statements of operations and cash flows for the quarterly and year to date periods then ended, could no longer be relied upon as a result of errors in those financial statements.

The same day Miller Energy Recourses, Inc. issued a letter to shareholders from the Chief Executive Officer also addressing allegations in an article dated July 28, 2011 posted on TheStreetSweeper.com.

NYSE MILL stocks closed on Monday at $3.95 per share.