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: GamePolitics.com

SEC Targets SouthPeak, CEO, and Chairman

By james_fudge

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The Securities and Exchange Commission is taking aim at SouthPeak, its CEO and its chairman of the board, according to a GI.Biz report. The SEC is recommending that cease and desist letters be issued to all three.

The action against Chairman Terry Phillips, current CEO Melanie Mroz, and the company as a whole stem from allegations that all involved violated "rules for disclosing company details in a quarterly report filed for the period ended March 31, 2009." The SEC is also seeking a civil injunction and an undisclosed penalty against Philips for "aiding and abetting" the aforementioned violations.

Phillips is no stranger to legal action at the hands of the SEC; in 2001 he was served with a cease and desist order and later paid a fine for taking inventory from Take-Two and not selling it in the timeline agreed upon. Read More

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Full post as published by GamePolitics.com on November 24, 2010 (boomark / email).

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