MDC Partners' Stock Plummets After News of SEC Probe Into CEO's Expenses

Agency holding company dropped bombshell on investor call

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The share price of MDC Partners, the holding company that includes Crispin Porter + Bogusky and 72andSunny, has plummeted this morning on news of an SEC investigation into the CEO's expenses.

MDC dropped a bombshell yesterday in its after-market first-quarter earnings call, when the CFO noted that on Oct. 5, 2014, it received a subpoena from the Securities and Exchange Commission requesting documents "relating to CEO expenses, the company's goodwill and certain other accounting practices, as well as trading in the company's securities by third parties".

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