Agenda – SEC Nabs Another Company for Failure to Disclose Perks

Memo to boards: You pay them plenty. Let them pay for their own plane rides and credit card purchases.

Last week, the SEC settled charges with Texas oilfield company ProPetro Holding Corp. and its former CEO for not properly disclosing hundreds of thousands of dollars’ worth of perquisites, including personal use of the company airplane and misuse of a corporate credit card.

This latest resolution follows a string of similar settlements made with companies and executives in the last several years, including with Argo Group International Holdings, Dow Chemical, Gulfport Energy Corporation, Hilton Worldwide Holdings and National Beverage Corp.

Given the recent spotlight that the SEC has placed on perk disclosures, compensation committees need to ask management for updated reports on executive perquisites and ensure that the proper internal controls and data gathering mechanisms are in place to monitor these benefits, sources said.

Agenda – SEC Nabs Another Company for Failure to Disclose Perks

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s