Jim Cramer's TheStreet.com Faces Accounting Fraud Charges [Updated]
SEC files suit against former CFO Eric Ashman
Digital finanical media company TheStreet—as well as three of its executives—have been charged by the Securities and Exchange Commission with accounting fraud for filing false financial reports and reporting fraudulent payments to a subsidiary group.
The primary complaint, according to reports, deals with TheStreet's former subsidiary, Promotions.com. The SEC first announced in April 2010 that it would be investigating accounting practices at Promotions.com, which TheStreet sold back in December 2009.
The SEC reports that the site's former CFO, Eric Ashman, "caused the company to report revenue before it had been earned" while Gregg Alwine and David Barnett—co-presidents of the Promotions.com
WORK SMARTER - LEARN, GROW AND BE INSPIRED.
Subscribe today!
To Read the Full Story Become an Adweek+ Subscriber
Already a member? Sign in