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ADM to Pay $40 Million to Settle SEC Accounting Fraud Probe
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Claims Journal
Archer-Daniels-Midland Co. agreed to pay $40 million to settle a two-year federal investigation into the crop giant’s accounting practices that rocked its share price and eroded faith in the company’s transparency.
Chief Executive Officer Juan Luciano also faced criticism as the company grappled with the fallout from the accounting issues.
But while the settlement lifts a heavy weight from the company, it still faces lawsuits from shareholders who allege ADM misled investors.
The company’s executives propped up the segment’s performance by essentially shifting profits from other business units through a series of retroactive rebates and price changes, the regulator said.
Top photo: A truck drives past the Archer-Daniels-Midland Co. (ADM) milling facility in St. Louis, Missouri, on Wednesday, Oct. 25, 2017.