Defendant Name:
Capital One Financial Corporation
Defendant Type:
Public Company
SIC Code:
6022
CUSIP:
14040H10
Document Reference:
34-69442
Document Details
Legal Case Name
In the Matter of Capital One Financial Corporation, Peter A. Schnall, and David A. LaGassa
Document Name
Order Instituting Cease-and-Desist Proceedings Pursuant to Section 21C of the Securities Exchange Act of 1934, Making Findings and Imposing Cease-and-Desist Order and Civil Penalties
Document Date
24-Apr-2013
Document Format
Administrative Proceeding
AAER
3456
Allegation Type
Issuer Reporting and Disclosure
Document Summary
On April 24, 2013, the SEC issued an order instituting a cease-and-desist proceeding against Capital One Financial Corporation, and its officers, Peter A. Schnall and David A. LaGassa. According to the SEC: "Capital One Financial Corporation ('Capital One'), a provider of consumer and commercial lending and diversified banking services, materially understated its provision for loan and lease losses (the 'provision for loan losses' or 'loan loss expense') for the second and third quarters of 2007. The understatement was of the provision for loan losses for Capital One's auto finance business, known as Capital One Auto Finance ('COAF'). As a result of the understatement, Capital One materially understated its provision for loan losses by as much as $72 million for its second quarterly filing and as much as $51 million in its third quarterly filing. Capital One also failed to maintain effective internal controls to ensure the appropriate and accurate recording and reporting of its loan loss expenses." On April 24, 2013, the Commission accepted offers of settlement from Capital One Financial Corporation, Peter A. Schnall, and David A. LaGassa.
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Remedial Acts or Efforts Before the Resolution
Monetary Penalties:
Civil Penalty
Individual:
$3,500,000.00
Shared:
Other Defendants in Action:
