The SEC and DOJ separately charged (see here and here) the former president and chief operating officer, and the former chief financial officer (the "defendants"), of a trucking company for engaging in a securities and accounting fraudulent scheme to hide more than $60 million in shareholder losses.

In separate complaints, the SEC and the Southern District of Indiana alleged that the company's trucks had "serious mechanical issues" that contributed to the trucks' depreciation in value. To conceal the losses from shareholders and banks, the SEC and DOJ claimed that the defendants (i) bought and sold trucks at inflated prices to a third party also involved in the fraudulent scheme and (ii) falsely stated to the company's auditor that the truck prices were determined independently. In addition, the SEC alleged that the defendants filed inaccurate financial reports with the SEC.

The DOJ filed criminal charges against the defendants and the SEC charged the defendants with violating multiple anti-fraud provisions under federal securities statutes.

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