Tag Archives: Internal Controls

SEC Charges Fifth Third Bancorp and its Former CFO Daniel Poston with Fraud for Accounting Practices during the Financial Crisis

In the Matter of Fifth Third Bancorp and Daniel Poston, Admin. Proc. No. 3-15635.  On December 4, 2013, the SEC announced it filed a Settled Administrative Order Instituting Proceedings (“OIP”) against Fifth Third Bancorp and its former CFO Daniel Poston. … Continue reading

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SEC Charges Chinese Company Keyuan Petrochemicals with Fraud

SEC v. Keyuan Petrochemicals, Inc. and Aichun Li, Case No. 1:13-cv-00263 (D.D.C.).  On February 28, 2013, the SEC announced fraud charges against Keyuan Petrochemicals, Inc., a Chinese issuer formed through a reverse merger in April 2010.  The SEC also charged the Company’s … Continue reading

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SEC Charges Volt Information Sciences, Debra Hobbs and Jack Egan With Securities Fraud

SEC v. Jack J. Egan, Jr., Case No. 13-CV-236 (S.D.N.Y.); SEC v. Volt Information Sciences, Inc. and Debra L. Hobbs, Case No. 13-CV-237 (S.D.N.Y.).  On January 10, 2013, the SEC filed enforcement actions alleging securities fraud against Volt Information Sciences, … Continue reading

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SEC Charges Subramanian Krishnan With Evading Internal Controls

SEC v. Subramanian Krishnan, Case No.: 12-CV-2495 PAM-JJG (D. Minn.).  On September 28, 2012, the SEC announced it had filed a partially-settled enforcement action against Subramanian Krishnan.  Krishnan was the former CFO of Digi International, Inc. (“Digi”).  Corporate funds were used to pay for unauthorized travel … Continue reading

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SEC Files Fraud Charges Against Bank Executives For Misstating Losses

SEC v. Gilbert G. Lundstrom et al., Case No. 8:12-cv-00343 (D. Neb.); SEC v. Don A. Langford, Case No. 8:12-cv-00344 (D. Neb.).  On September 25, 2012, the SEC announced fraud charges against Gilbert Lundstrom, who was CEO and chairman of … Continue reading

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SEC Obtains Asset Freeze and Temporary Restraining Order Against Michael Borish and Michael Ciarlone

SEC v. Freedom Environmental Services, Inc., et al., Case No.: 6:12-CV-1415-ORL-28-DAB (M.D. Fl.).  On September 17, 2012, the SEC announced it had obtained a temporary restraining order, asset freeze and appointment of a receiver to preserve assets.  The SEC charged Michael … Continue reading

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SEC Files Settled Case Against Gilbert Fiorentino For Hiding Perks and Other Compensation

SEC v. Gilbert Fiorentino, Case No. 12-cv-23388, (S.D. FL.).  On September 17, 2012, the SEC announced filing a settled civil fraud action against Gilbert Fiorentino, a former director of Systemax, Inc.  Between 2006 and 2010, Fiorentino received more than $400,000 … Continue reading

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SEC Charges Yan-qing Liu With Fraud For Bolstering Financial Results With Fake Sales

SEC v. China Sky One Medical, Inc. and Yan-qing Liu, Case No. CV12-7543 MWF (MANx) (C.D. Cal.).  On September 4, 2012, the SEC charged China-based China Sky One Medical, Inc. (“CSKI”) and its CEO and chairman Yan-qing Liu with fraud.  CSKI claimed in public … Continue reading

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SEC Charges Chicago-Based Huron Consulting Group and Two Former Executives With Accounting Violations

In the Matter of Huron Consulting Group, Inc., Gary L. Burge, CPA, and Wayne E. Lipski, CPA, Admin. Proc. No. 3-14958.  On July 19, 2012, the SEC issued an administrative order finding that Huron Consulting Group Inc., a provider of … Continue reading

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