Ex-KB Home Exec Pleads Guilty In Securities Probe

Law360, New York (December 16, 2008, 12:00 AM EST) -- The former head of human resources at KB Home Inc. has admitted he conspired with ex-CEO Bruce Karatz to thwart federal investigators ahead of a probe into stock options backdating at the home building giant, U.S. prosecutors said Monday.

The former executive, Gary A. Ray, faces up to five years in prison after pleading guilty to one count of conspiring to obstruct justice by impeding an anticipated investigation of KB Home's accounting by the U.S. Securities and Exchange Commission, the U.S. Attorney's Office for the Central...
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