The Securities and Exchange Commission has charged Super Micro Computer Inc. (SMCI) with accounting misdeeds over a period of three years, the SEC announced Tuesday. The Silicon Valley hardware maker is accused of recognizing revenue earlier than it should have been and misused its cooperative marketing program to avoid expenses. The charges are targeted at former Chief Financial Officer Howard Hideshima, who has agreed to pay a $50,000 penalty as well as disgorgement and prejudgment interest totaling more than $300,000, without admitting nor denying the charges. Super Micro has agreed to pay a $17.5 million penalty, and Chief Executive Charles Liang, who is not accused of misconduct, will have to pay $2.1 million to the company for stock proceeds he received during the time period, all without admitting nor denying the SEC's findings. Super Micro has already announced restatements for the 2105, 2016 and 2017 fiscal years as a result of an internal investigation, and after being delisted as annual reports were delayed ( ) and the company faced a report that its products had been infiltrated by Chinese technology, has regained its Nasdaq listing ( ). Shares declined 2.8% in after-hours trading Tuesday after the charges were announced.
-Jeremy C. Owens; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
August 25, 2020 16:50 ET (20:50 GMT)
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