Merle Lewis, Richard Hylland, Kipp Orme, and Kurt Whitesel

Argus, SD: (Apr-26-07) The US Securities and Exchange Commission filed suit against four former NorthWestern Corp. executives, alleging that the men overstated performance levels and hid problems at the company. The SEC charges claimed the four executives overstated the performance of NorthWestern and its key telecommunications subsidiary Expanets, Inc. in 2002 during the same period that NorthWestern completed securities offerings totaling more than $800 million. The complaints also claimed that after restating its financial results for the first three quarters of 2002, the company declared bankruptcy in 2003. The four men agreed to settle with the SEC without admitting to or denying the allegations in the complaints. Former Chief Executive Officer Merle Lewis and former Chief Operating Officer Richard Hylland face the largest fines, at $150,000 each. NorthWestern's former Chief Financial Officer Kipp Orme will pay $100,000, and former Controller Kurt Whitesel will pay a $25,000 penalty. [ARGUS LEADER: COMMERCIAL FRAUD]

Legal Help

If you have a similar problem and would like to be contacted by a lawyer at no cost or obligation, please click the link below.
Published on May-3-07