SEC Sues Life Partners Execs Over Accounting Fraud

Law360, New York (January 3, 2012, 8:48 PM EST) -- The U.S. Securities and Exchange Commission on Tuesday accused Life Partners Holdings Inc. and three of its senior executives of misleading shareholders in a fraudulent disclosure scheme through which they understated millions of dollars of expenses from 2007.

In its complaint filed in Texas federal court, the SEC claims that Life Partners Chairman and CEO Brian Pardo, President and general counsel Scott Peden, and Chief Financial Officer David Martin hid the fact that their company consistently underestimated life expectancy estimates, which caused the financial services firm...
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