Action against Defendants, a pharmaceutical company, its former CEO, and its former Controller, in connection with alleged financial reporting, books and records, and internal accounting controls violations by Defendant company.  According to the SEC, Defendant company failed to maintain internal controls over financial reporting related to controls on the company’s gross-to-net reserve accounts and estimates and overstated net revenue and income from continuing operations before income taxes, both issues disclosed in Defendant company’s restatement of its 2014 financials. The SEC further alleges that Defendants CEO and Controller are liable as control persons for Defendant Company’s violations.  Defendants CEO and Controller have each agreed to pay a civil penalty of $20,000.

SEC Litigation Release