Defendant Name:
Cardinal Health, Inc.
Defendant Type:
Public Company
SIC Code:
5122
CUSIP:
14149Y10
Initial Case Details
Legal Case Name
SEC v. Cardinal Health, Inc.
First Document Date
26-Jul-2007
Initial Filing Format
Civil Proceeding
Case Number
07-cv-06709
Allegation Type
Issuer Reporting and Disclosure
Federal District Court
New York, Southern District of New York
Violations Alleged
•
Sec 17(a) (Not specified)
Resolutions
First Resolution Date
26-Jul-2007
Headline Total Penalty and Disgorgement
$35,000,001
Related Documents:
2007-147
26-Jul-2007
Press Release--Civil Action
SEC Sues Cardinal Health, Inc. For Fraudulent Earnings and Revenue Management Scheme
The SEC stated: "Cardinal Health, Inc., a pharmaceutical distribution
company based in Dublin, Ohio, has agreed to pay $35 million to settle charges that it engaged in a nearly four-year long fraudulent revenue and earnings management scheme, as well as other improper accounting and disclosure practices."
SEC Sues Cardinal Health, Inc. For Fraudulent Earnings and Revenue Management Scheme
The SEC stated that: "[It] filed a civil action against Cardinal Health, Inc. (Cardinal), a pharmaceutical distribution company based in Dublin, Ohio, in which Cardinal agreed to pay $35 million to settle charges that it engaged in a nearly four-year long fraudulent revenue and earnings management scheme, as well as other improper accounting and disclosure practices"
Complaint
The Commission stated: "From at least September 2000 through at least March 2004, defendant Cardinal Health, Inc. ("Cardinal" or the "Company") engaged in a fraudulent earnings and revenue management scheme and other improper accounting and disclosure practices. Cardinal engaged in this conduct in order to present a false picture of its results of operations to the financial community and the investing public - one that matched Cardinal's publicly disseminated earnings guidance and analysts' expectations, rather than its true economic performance. Through these practices, the Company materially overstated its operating revenue, earnings and growth trends in certain earnings releases and filings with the Commission."
Final Judgment as to Defendant Cardinal Health, Inc.
On August 1, 2007, the Court approved a settlement between the SEC and Defendant Cardinal Health, Inc. The Court stated: "Defendant Cardinal Health, Inc. . . . consented to the Court's jurisdiction over Defendant and the subject matter of this action; consented to entry of this Final Judgment without admitting or denying the allegations of the Complaint (except as to jurisdiction)."
2009-191
01-Sep-2009
Press Release--Civil Action
SEC Announces $35 Million Fair Fund Distribution to Defrauded Cardinal Health Investors
The SEC announced "the distribution of more than $35 million in Fair Funds to more than 98,000 investors in Cardinal Health, Inc. who were harmed by a fraudulent revenue and earnings management scheme. The [enforcement action] alleged that the company presented a false picture of its operating results to the financial community and the investing public - one that matched its publicly disseminated earnings guidance and analysts' expectations rather than its true economic performance."
