SEC Charges Former Accounting Executive at Japanese Subsidiary with Fraud

The SEC announced fraud charges against the former controller of a Chicago-area company's Japanese subsidiary, Molex Japan Co. Ltd.

According to the SEC, the former senior accounting officer engaged in unauthorized equity trading in Molex's brokerage accounts, and concealed the resulting "massive trading losses" by taking out unauthorized and undisclosed company loans with Japanese banks and brokerage firms. He then used loan proceeds to replenish account balances and engage in additional trading.

See: SEC Complaint; SEC Order; SEC Press Release.