Hugging Face's logo

Datasets:
codewithdark
/
SEC-RPT-Panel

Tasks:
Tabular Classification
Text Classification
Modalities:
Document
Tabular
Text
Formats:
csv
Languages:
English
Size:
1K - 10K
Tags:
finance
accounting
sec-edgar
related-party-transactions
fraud-detection
Libraries:
Datasets
pandas
Polars
License:
Dataset card Data Studio Files
xet
 Community
1
SEC-RPT-Panel / raw /aaer /2004 /AAER-1966.txt
codewithdark's picture
codewithdark
Add files using upload-large-folder tool
dea8769 verified
Raw History Blame Contribute Delete
31.5 kB
SEC.gov | Scott D. Sullivan
!function(){var e=navigator.userAgent,a=document.documentElement,n=a.className;n=n.replace("no-js","js"),/iPad|iPhone|iPod/.test(e)&&!window.MSStream&&(n+=" ua-ios"),a.className=n}();
{"path":{"baseUrl":"\/","pathPrefix":"","currentPath":"node\/493556","currentPathIsAdmin":false,"isFront":false,"currentLanguage":"en"},"pluralDelimiter":"\u0003","suppressDeprecationErrors":true,"gtag":{"tagId":"","consentMode":false,"otherIds":[],"events":[],"additionalConfigInfo":[]},"ajaxPageState":{"libraries":"eJxdT0GOwzAI_JBdn_oei2DkeINNZLC22devlaZS2wtiBhhmcKNUTPo97jxyaXEH3GJpiZrFhQW38A4cMqgeYQGlV19JFTKpQ-kUmvQKXP7I0cO4tC2kPnbg2wVdFslM0SCHPMs3vsEPPD7J6hgOGdPCKJyoRxxqUuePHjLLAuzVjimenRJGSLW08NoBK9LUn6SHlrytVOlcpJShB63QLSpBx_WkOzHNePol4fRQo_qMPvQ36ZXsAmd99lMNr2t_GUR9n60EyX9a_wePd5ns","theme":"uswds_sec","theme_token":null},"ajaxTrustedUrl":[],"gtm":{"tagId":null,"settings":{"data_layer":"dataLayer","include_classes":false,"allowlist_classes":"","blocklist_classes":"","include_environment":false,"environment_id":"","environment_token":""},"tagIds":["GTM-TD3BKV"]},"data":{"extlink":{"extTarget":false,"extTargetAppendNewWindowDisplay":true,"extTargetAppendNewWindowLabel":"(opens in a new window)","extTargetNoOverride":false,"extNofollow":false,"extTitleNoOverride":false,"extNoreferrer":false,"extFollowNoOverride":false,"extClass":"0","extLabel":"(link is external)","extImgClass":false,"extSubdomains":true,"extExclude":".*\\.gov|http:\/\/www.xbrl.org\/utr\/2013-05-17\/utr.xml|http:\/\/www.xbrl.org\/dtr\/type\/numeric-2009-12-16.xsd|http:\/\/www.xbrl.org\/dtr\/type\/nonNumeric-2009-12-16.xsd|https:\/\/secir.secure.force.com\/ombudsman\/OMMSForm","extInclude":"","extCssExclude":".data-exempt","extCssInclude":"","extCssExplicit":"","extAlert":true,"extAlertText":"You are now leaving the SEC Website. The link you have selected is located on another server. Please click on the OK button below to proceed to the selected site. The SEC does not endorse this web site, its sponsor, or any of the policies, activities, products, or services offered on the site or by any advertiser on the site.","extHideIcons":false,"mailtoClass":"0","telClass":"","mailtoLabel":"(link sends email)","telLabel":"(link is a phone number)","extUseFontAwesome":false,"extIconPlacement":"append","extPreventOrphan":false,"extFaLinkClasses":"fa fa-external-link","extFaMailtoClasses":"fa fa-envelope-o","extAdditionalLinkClasses":"","extAdditionalMailtoClasses":"","extAdditionalTelClasses":"","extFaTelClasses":"fa fa-phone","allowedDomains":null,"extExcludeNoreferrer":""}},"user":{"uid":0,"permissionsHash":"e506dfd1572f94bd1f339f1a7483bfbded31d4a9d2bdfdca3fdbc235153380ee"}}
Skip to search field
Skip to main content
An official website of the United States government
Here’s how you know
Here’s how you know
Official websites use .gov
A .gov website belongs to an official government organization in the United States.
Secure .gov websites use HTTPS
A lock
( Lock A locked padlock )
or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.
SEC homepage
Menu
Close
Search SEC.gov & EDGAR
Search
Search Filings
Search Filings
Full Text Search
Latest Filings
Mutual Fund Search
Variable Insurance Products Search
SIC Codes
CIK Lookup
Public Dissemination Service (PDS)
Search Assistance
Submit Filings
Submit Filings
EDGAR Filer Management Portal
EDGAR Filing Portal
Online Forms Management Portal
EDGAR Next
Forms Index
Filer Support & Resources
Data & Research
Data & Research
Data Library
Statistics & Data Visualizations
Structured Data
Investment Management Data
Open Data at the SEC
Rules, Enforcement, & Compliance
Rules & Regulations
Rulemaking Activity
Submit Public Comments
Staff Guidance
No-Action, Interpretive, and Exemptive Letters
Self-Regulatory Organization Rulemaking
Public Petitions for Rulemaking
Enforcement & Litigation
Litigation Releases
Administrative Proceedings
Administrative Law Judge Orders and Initial Decisions
Trading Suspensions
Distributions to Harmed Investors
Receiverships
Compliance
Examination Priorities
Risk Alerts
Compliance Outreach Program
Proposed Rules
What's New
Whistleblower Program
Featured Topics
Featured Topics
Crypto Task Force
Cybersecurity
Market Structure Analytics
Saving and Investing for Military Personnel
Saving and Investing for Teachers
SEC-CFTC Harmonization Initiative
Treasury Clearing Implementation
About
About
Mission
Commissioners
Divisions & Offices
Division & Office Directors
Advisory Committees
Budget & Performance
Reports & Publications
Commission Votes
Contact the SEC
Careers
Submit a Tip or Complaint
Newsroom
|
Investors
Small Businesses
Whistleblowers
Newsroom
|
Investors
Small Businesses
Whistleblowers
Search SEC.gov & EDGAR
Search
More in this Section
Enforcement & Litigation
Litigation Releases
Administrative Proceedings
Administrative Law Judge Orders and Initial Decisions
Trading Suspensions
Distributions to Harmed Investors
Receiverships
Electronic Filings in Administrative Proceedings (eFAP)
Rules of Practice
Applications for Reentry
Reports of Investigations
Whistleblower Program
Public Alert: Unregistered Soliciting Entities (PAUSE)
SEC Action Lookup - Individuals (SALI)
Enforcement Data Delivery Standards
Small Businesses
Appellate Briefs
Amicus / Friend of the Court Briefs
Enforcement & Litigation
Litigation Releases
Administrative Proceedings
Administrative Law Judge Orders and Initial Decisions
Trading Suspensions
Distributions to Harmed Investors
Receiverships
Electronic Filings in Administrative Proceedings (eFAP)
Rules of Practice
Applications for Reentry
Reports of Investigations
Whistleblower Program
Public Alert: Unregistered Soliciting Entities (PAUSE)
SEC Action Lookup - Individuals (SALI)
Enforcement Data Delivery Standards
Small Businesses
Appellate Briefs
Amicus / Friend of the Court Briefs
Home
Enforcement and Litigation
Litigation Releases
Scott D. Sullivan
Scott D. Sullivan
Sullivan Consents to Anti-Fraud Injunction, Permanent Bar from Serving as an Officer and Director of a Public Company, and Permanent Suspension from Practicing as an Accountant Before the Commission
Sullivan Also Pleads Guilty to Criminal Charges Filed by the Department of Justice, which Announces Related Indictment of Former WorldCom CEO Bernard J. Ebbers
Securities and Exchange Commission v. Scott D. Sullivan, Civil Action No. 04 CV 1706
The Securities and Exchange Commission today filed a civil enforcement action against Scott D. Sullivan, the former Chief Financial Officer of WorldCom, Inc. The Commission charged Sullivan with engaging in a fraudulent scheme to conceal WorldCom's poor financial performance. The Commission alleged that Sullivan, with the consent and knowledge of WorldCom's former Chief Executive Officer, caused numerous improper adjustments and entries in WorldCom's books and records, often in the hundreds of millions of dollars, to make the Company's quarterly and yearly financial results appear to meet Wall Street's expectations. In addition, the Commission alleged that Sullivan made numerous false and misleading public statements about WorldCom's financial condition and performance, and signed a number of SEC filings that contained false and misleading material information.
Also today, in connection with the same conduct, Sullivan pleaded guilty to criminal charges filed by the U.S. Attorney's Office for the Southern District of New York. In addition, that office announced today the related indictment of Bernard J. Ebbers, WorldCom's former Chief Executive Officer.
The Commission's complaint against Sullivan alleges that by September 2000, Sullivan and other senior WorldCom executives knew that WorldCom's true operating performance and financial results were materially below the financial guidance they had given to Wall Street analysts and investors. Rather than disclose WorldCom's true financial condition and suffer the resulting decline in the company's share price, from approximately September 2000 through June 2002, Sullivan engaged in a scheme that fraudulently concealed WorldCom's true operational and financial results. The scheme involved improperly manipulating WorldCom's reported revenue, expenses, net income, earnings before interest, taxes, depreciation and amortization (EBITDA), and earnings per share.
The complaint charges that as part of the scheme, Sullivan instructed subordinates to book certain fraudulent adjustments and entries in WorldCom's general ledger. The adjustments and entries were designed to falsely increase WorldCom's reported revenue and falsely decrease WorldCom's reported expenses. The false adjustments and entries, among other things, improperly reduced expenses by drawing down certain reserves and improperly capitalizing certain operating expenses commonly referred to in the telecommunications industry as "line costs." The complaint also alleges that Sullivan misrepresented or failed to disclose material changes in WorldCom's revenue recognition practices. During the same period, Sullivan and others made materially false or misleading statements or omissions to WorldCom's independent auditors in connection with audits and the preparation of filings with the Commission.
Simultaneously with the filing of the complaint, Sullivan has agreed, without admitting or denying the allegations of the complaint, to the entry of an order permanently enjoining him from violating, directly or indirectly, numerous provisions of the federal securities laws, including the antifraud, reporting, books and records, internal controls, and lying-to-auditors provisions, Section 17(a) of the Securities Act of 1933 and Sections 10(b), 13(a), 13(b)(2) and 13(b)(5) of the Securities Exchange Act of 1934 and Rules 10b-5, 12b-20, 13a-1, 13a-13, 13b2-1 and 13b2-2 thereunder. Sullivan has also agreed to the entry of an order that would permanently bar him from serving as an officer or director of a public company. The order further provides that any monetary relief will be decided by the Court at a hearing to be held upon motion of the Commission or the instance of the Court and that the Court will retain jurisdiction of the action for all purposes, including the imposition of additional equitable remedies or sanctions, if any, as determined following a hearing. Sullivan has agreed that for the purpose of any such hearing, the allegations of the complaint shall be deemed true. The settlement is subject to the review by and approval of the Court.
In addition, Sullivan has agreed to a Commission administrative order, based on the injunction, suspending him from appearing or practicing before the Commission as an accountant, under Rule 102(e) of the Commission's Rules of Practice. Sullivan has been licensed in the State of New York as a certified public accountant since 1985, although his registration lapsed in 1989.
The Commission's action against Sullivan is its fifth civil enforcement action related to the WorldCom fraud. The first was filed against WorldCom, Inc. on June 27, 2002, the day after WorldCom announced that it intended to restate its financial results for five quartersâ€"all quarters in 2001 and the first quarter of 2002. ( Litigation Release No. 17588 ). The Commission sought, among other things, the appointment of a corporate monitor for WorldCom, and on July 3, 2002, U.S. District Judge Jed S. Rakoff appointed former SEC Chairman Richard Breeden to that position. Since then, WorldCom has admitted that beginning in 1999, as a result of undisclosed and improper accounting, it materially overstated the income it reported in its financial statements by at least $9 billion. It also filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code.
On Nov. 26, 2002, the Commission obtained a judgment against WorldCom that provided the full injunctive relief sought against the company. In addition, the judgment ordered WorldCom to undertake extensive reviews of its corporate governance and internal controls, as well as required the company to establish a training and education program for WorldCom officers and employees to minimize the possibility of future violations of the federal securities laws ( Litigation Release No. 17866 ).
Subsequently, the U.S. District Court ordered WorldCom to satisfy the SEC's civil monetary penalty judgment by paying $500 million in cash and transferring $250 million worth of common stock in the reorganized company when it emerges from bankruptcy into a fund for later distribution to victims of the company's fraud, pursuant to Section 308 (Fair Funds for Investors) of the Sarbanes-Oxley Act of 2002. (Litigation Release Nos. 17829 , 18219 and 18277 ).
Previously, the Commission filed civil actions against former WorldCom Controller David F. Myers ( Litigation Release No. 17753 ); former WorldCom Director of General Accounting Buford "Buddy" Yates, Jr. ( Litigation Release No. 17771 ); and Betty L. Vinson and Troy M. Normand, former accountants in WorldCom's General Accounting Department ( Litigation Release No. 17783 ). All of these actions are pending.
The Commission acknowledges the assistance and cooperation of the U.S. Attorney's Office for the Southern District of New York and the Federal Bureau of Investigation.
The Commission's investigation into matters related to WorldCom's financial fraud is continuing.
SEC Complaint in this matter
 
Return to top
SEC homepage
About the SEC
Budget & Performance
Careers
Commission Votes
Contact
Contracts
Transparency
Accessibility & Disability
Super Intelligence
FOIA
Inspector General
No FEAR Act Data
Ombuds
SEC Excess Personal Property Guidance
Websites
Investor.gov
Related Sites
USA.gov
Site Information
Plain Writing
Privacy & Security
Site Map
Stay connected. Sign up for email updates.
Your email address
Sign Up
X
Facebook
Instagram
RSS
YouTube
Email Updates