China-Based Company and Former CFO to Pay Penalties for Disclosure and Accounting Violations

The SEC charged Keyuan, a China-based petrochemical company, and its former CFO with accounting and disclosure violations, and both agreed to pay more than $1 million combined to settle the charges.

According to the SEC's complaint filed in federal court in Washington D.C., the related party transactions that Keyuan failed to disclose included sales of products, purchases of raw materials, loan guarantees, and short-term financing.

See: SEC Complaint.See also: SEC Litigation Release.