Defendant Name:
Monsanto Company
Defendant Type:
Public Company
SIC Code:
2879
CUSIP:
61166W10
Document Reference:
33-10037
Document Details
Legal Case Name
In the Matter of Monsanto Company, Sara M. Brunnquell, CPA, Anthony P. Hartke, CPA, and Jonathan W. Nienas
Document Name
Order Instituting Administrative and Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 1933, Sections 4C and 21C of the Securities Exchange Act of 1934, and Rule 102(e) of the Commission's Rules of Practice, Making Findings and Imposing Remedial Sanctions and a Cease-and-Desist Order
Document Date
09-Feb-2016
Document Format
Administrative Proceeding
AAER
3741
Allegation Type
Issuer Reporting and Disclosure
Document Summary
On February 9, 2016, the SEC instituted settled administrative and cease-and-desist proceedings against Monsanto Company, Sara M. Brunnquell, CPA, Anthony P. Hartke, CPA, and Jonathan W. Nienas. According to the SEC: "Monsanto is an agricultural seed and chemical company that manufactures and sells glyphosate, a herbicide, under the trade name 'Roundup.' During fiscal years 2009, 2010, and 2011, Monsanto improperly accounted for millions of dollars of rebates offered to Roundup distributors and retailers in the U.S. and Canada to incent them to purchase Roundup. Monsanto also improperly accounted for rebate payments to Roundup customers in Canada, France, and Germany as selling, general, and administrative expenses ('SG&A') rather than rebates, which boosted Roundup gross profit in those countries. Monsanto did not have sufficient internal accounting controls to identify and properly account for rebate payments promised to customers. As a result, Monsanto materially misstated its consolidated earnings, and its revenues and earnings for its Roundup business lines, in its periodic reports filed with the Commission for fiscal years 2009, 2010, and 2011. As a result of the improper accounting, Monsanto met consensus earnings-per-share analyst estimates for fiscal year 2009."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Compliance Related Independent Consultant
Various undertakings
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Monetary Penalties:
Civil Penalty
Individual:
$80,000,000.00
Shared:
Other Defendants in Action:
