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SEC LITIGATION RELEASE
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EXTRACTED KEY WORDS
BECKER EXCHANGE COMMISSION VISTA SMYTH JOHNS GEORGIA DAVIS VIOLATIONS MICHAEL PERMANENT INJUNCTION SECURITIES LAW OFFICER EXCHANGE ACT LITIGATION ACCOUNTING RICHARD ARNOLD ALAN DISTRICT COURT CHIEF ALLEGATIONS COMPLAINT ACCEPTED ACCOUNTING PRINCIPLES INSIDER TRADING REVENUES INCOME EARNINGS ASSETS |
SECURITIES AND EXCHANGE COMMISSION
Litigation Release No.17211 / October 30, 2001
Accounting and Auditing Enforcement Release No. 1474
SECURITIES AND EXCHANGE COMMISSION V. RICHARD P. SMYTH, ARNOLD E.
JOHNS, JR., MICHAEL J. BECKER AND ALAN T. DAVIS, Civil Action No. 1
01-CV-1344 (N.D. Ga.)
SEC OBTAINS PERMANENT INJUNCTION AGAINST MICHAEL J. BECKER
The Securities and Exchange Commission ("Commission") announced today
that on October 11, 2001, the Honorable Clarence Cooper of the United
States District Court for the Northern District of Georgia entered an
order of permanent injunction and other relief against Michael J.
Becker ("Becker") of Marietta, Georgia for engaging in violations of
the antifraud provisions of the securities laws during his tenure as
chief financial officer of Vista 2000, Inc. ("Vista"), a now defunct
consumer products company formerly headquartered in Roswell, Georgia.
Judge Cooper's order permanently enjoined Becker from further
violations of Section 17(a) of the Securities Act of 1933 and Section
10(b) of the Securities Exchange Act of 1934 ("Exchange Act") and Rule
10b-5 thereunder. Becker was ordered to pay disgorgement and
pre-judgment interest in amounts to be resolved upon motion of the
Commission at a later date. Becker consented to the entry of the
order, without admitting or denying the allegations of the
Commission's complaint.
The Securities and Exchange Commission previously sued Becker and
three other men for various violations of the federal securities law.
The other defendants are Arnold E. Johns, Jr. of Atlanta, Georgia,
Alan T. Davis of Gainesville, Georgia and Richard P. Smyth of
Fernandina Beach, Florida. Like Becker, Johns and Smyth are former
officers of Vista. Johns was a director of Vista and its president,
and Smyth was Vista's founder and chief executive officer. Davis was
Vista's outside auditor. The litigation is continuing as to Johns and
Davis. Smyth was previously enjoined by separate order of the court.
The Commission's complaint alleged a wide-range of securities law
violations, including that misstatements were made by Vista in filings
with the Commission. The allegations against Becker included that he
recorded various transactions at Vista in contravention of generally
accepted accounting principles, and engaged in insider trading in
Vista securities at a time when Vista's revenues, income, earnings per
share, and assets were overstated.
See also (October 5, 2001); (June 21, 2001)
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