Defendant Name: Gentex Corporation

Defendant Type: Public Company
SIC Code: 3710
CUSIP: 37190110

Initial Case Details

Legal Case Name In the Matter of Gentex Corporation and Kevin C. Nash
First Document Date 07-Feb-2023
Initial Filing Format Administrative Action
File Number 3-21296
Allegation Type Issuer Reporting and Disclosure
AAER 4373

Violations Alleged

Exchange Act
• Rule 12b-20
• Sec 13(a)
• Rule 13a-11
• Rule 13a-13
• Rule 13a-15
• Sec 13(b)(2)(A)
• Sec 13(b)(2)(B)
Additionally, Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Rule 12b-20 of the Exchange Act.
Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Sec 13(a) of the Exchange Act.
Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Rule 13a-11 of the Exchange Act.
Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Rule 13a-13 of the Exchange Act.
Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Rule 13a-15 of the Exchange Act.
Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Sec 13(b)(2)(A) of the Exchange Act.
Kevin C. Nash is alleged to have caused Gentex Corporation's violation of Sec 13(b)(2)(B) of the Exchange Act.

Resolutions

First Resolution Date 07-Feb-2023
Headline Total Penalty and Disgorgement $4,000,000

Related Documents:

34-96819 07-Feb-2023 Administrative Proceeding
Order Instituting Cease-And-Desist Proceedings Pursuant to Section 21C of the Securities Exchange Act of 1934, Making Findings, and Imposing a Cease-and-Desist Order
On February 7, 2023, the SEC instituted settled cease-and-desist proceedings against Gentex Corporation and Kevin C. Nash, stating: "This matter involves deficiencies in Gentex’s accounting for its executive and employee bonus compensation programs from the third quarter of 2015 through the second quarter of 2018 (the “Relevant Period”). These deficiencies were caused by an ineffective system of internal accounting controls, which made it possible for the company’s then-Chief Accounting Officer, Nash, and others in the accounting group, to make certain adjustments to the bonus compensation accruals without the required accounting analysis or without adequate supporting documentation."
34-96819-s 07-Feb-2023 Administrative Summary
SEC Charges Gentex and Chief Financial Officer in Connection with EPS Initiative
The SEC "announced charges against Gentex Corporation for financial reporting, books-and-records, and internal accounting controls violations arising out of the company's accounting for its executive and employee bonus compensation programs. The SEC also announced charges against Kevin Nash, Gentex's Chief Financial Officer, for related violations. These actions arise from the Division of Enforcement's Earnings Per Share ("EPS") Initiative, which utilizes risk-based data analytics to uncover potential accounting and disclosure violations caused by, among other things, earnings management practices."

Other Defendants in Action:

Kevin C. Nash