(HedgeCo.Net) a federal court has entered a final judgment against Stephen B. Pence, the former chairman and majority shareholder of General Employment Enterprises (GEE), in a case alleging that he misled the company’s auditors and investors by concealing his knowledge regarding $2.3 million in missing company cash and several related-party transactions.<\/p>\n
The SEC’s complaint, filed on September 9, 2015 in the United States District Court for the Southern District of New York, alleged that Pence, who is a former U.S. Attorney and lieutenant governor of Kentucky, misled GEE’s investors and auditors after the company discovered that substantially all of its cash – $2.3 million in all – was missing. As alleged in the complaint, Pence created the impression that he was acting independently as GEE’s chairman, when he was in fact a figurehead working on behalf of convicted felon Wilbur Anthony Huff. According to the complaint, in July 2009, Huff caused GEE to transfer substantially all of its cash to a third party, as part of a criminal scheme masterminded by Huff and an accomplice. The SEC alleged that Pence subsequently misled GEE’s auditors about the missing funds and related-party transactions, and that Pence signed the company’s 2009 annual report despite knowing that it included false and misleading statements and omissions.<\/p>\n
Without admitting or denying the SEC’s allegations, Pence consented to the entry of a judgment permanently enjoining him from violating Section 10(b) of the Securities Exchange Act of 1934 and Rules 10b-5 and 13b2-2 thereunder, ordering him to pay a $200,000 civil penalty, and permanently barring him from serving as an officer or director of a public company.<\/p>\n","protected":false},"excerpt":{"rendered":"
(HedgeCo.Net) a federal court has entered a final judgment against Stephen B. Pence, the former chairman and majority shareholder of General Employment Enterprises (GEE), in a case alleging that he misled the company’s auditors and investors by concealing his knowledge […]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,3,16048],"tags":[],"class_list":["post-64325","post","type-post","status-publish","format-standard","hentry","category-hedgeco-networks-press-releases","category-hedgeco-news","category-hedgecovest-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/64325","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=64325"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/64325\/revisions"}],"predecessor-version":[{"id":64326,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/64325\/revisions\/64326"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=64325"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=64325"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=64325"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}