SEC Settles Civil Action Against Former CFO of Commonwealth Bankshares, Inc.

Based on the injunctions entered against the former CFO of Bank of the Commonwealth and its publicly-traded holding company by the U.S. District Court for the Eastern District of Virginia, the SEC entered an order suspending the former CFO from appearing or practicing before the SEC as an accountant.

The SEC's complaint alleged the former CFO violated the anti-fraud, reporting, record-keeping, internal controls, deceit of auditors, and Sarbanes-Oxley certification provisions of the federal securities laws by engaging or providing substantial assistance in the understatement of Commonwealth's allowance for loan and lease losses, reported loss before income taxes, and real estate repossessed by the bank.

See: SEC Litigation Release.