Defendant Name:
Interpublic Group of Companies, Inc.
Defendant Type:
Public Company
SIC Code:
7311
CUSIP:
46069010
Initial Case Details
Legal Case Name
SEC v. Interpublic Group of Companies, Inc. and McCann-Erickson Worldwide, Inc.
First Document Date
01-May-2008
Initial Filing Format
Civil Proceeding
Case Number
08-cv-04075
Allegation Type
Issuer Reporting and Disclosure
Federal District Court
New York, Southern District of New York
Violations Alleged
Additionally,
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Rule 12b-20 of the Exchange Act.
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Sec 13(a) of the Exchange Act.
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Rule 13a-1 of the Exchange Act.
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Rule 13a-11 of the Exchange Act.
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Rule 13a-13 of the Exchange Act.
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Sec 13(b)(2)(A) of the Exchange Act.
McCann-Erickson Worldwide, Inc. is alleged to have aided and abetted Interpublic Group of Companies, Inc.'s violation of Sec 13(b)(2)(B) of the Exchange Act.
Resolutions
First Resolution Date
01-May-2008
Related Documents:
Complaint
The SEC stated: "This enforcement action primarily involves securities fraud at McCann, IPG's largest subsidiary."
SEC Charged McCann- Erickson Worldwide, Inc., Interpublic Group Of Companies And Two Former Executives; Defendants Agree to Settle; McCann Agrees to Pay $12 Million Penalty
The SEC stated that: "[It] filed a civil injunctive action against McCann-Erickson Worldwide, Inc. ("McCann") and the Interpublic Group of Companies, Inc. ("IPG"). The Commission alleged that McCann committed securities fraud when it misstated its financial results by failing to expense properly intercompany charges. IPG negligently failed to address the intercompany problems at its largest subsidiary, McCann. IPG also violated the reporting, internal controls and books and records provisions of the securities laws in connection with a variety of issues that were reflected in various restatements IPG issued from August 2002through September 2005 totaling more than $600 million. IPG and McCann agreed to settle the Commission's charges, and McCann agreed to pay a$12 million civil penalty."
2008-71
01-May-2008
Press Release--Civil Action
SEC Charged McCann- Erickson Worldwide, Inc., Interpublic Group Of Companies And Two Former Executives; Defendants Agree to Settle; McCann Agrees to Pay $12 Million Penalty
The SEC stated that: "[It] filed enforcement actions against global advertising network McCann-Erickson Worldwide, its parent company, and two former executives for their roles in an accounting fraud involving intercompany transactions.
The SEC's complaint alleges that McCann, which owns hundreds of regional and local advertising agencies throughout the world, fraudulently misstated its financial results by improperly failing to expense intercompany charges that were instead recorded as receivables. Its holding company, Interpublic Group of Companies, Inc. (IPG), negligently failed to address the accounting problems at McCann, its largest subsidiary, resulting in material misstatements in its own financial reporting. IPG and McCann agreed to settle the SEC's charges, and McCann agreed to pay a $12 million penalty."
Final Judgment as to Defendants The Interpublic Group of Companies, Inc. and McCann Erickson Worldwide, Inc.
The Court stated: "Plaintiff Securities and Exchange Commission ("Commission") having filed a Complaint and Defendants The Interpublic Group of Companies, Inc. ("Interpublic") and McCann Erickson Worldwide, Inc. ("McCann" and together with Interpublic, the "Defendants") having entered a general appearance; consented to the Court's jurisdiction over them 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); waived findings of fact and conclusions of law; and waived any right to appeal from this Final Judgment."
Other Defendants in Action:
