SEC Hits 3 Former New Century Execs With Fraud Suit

Law360, New York (December 7, 2009, 5:29 PM EST) -- The U.S. Securities and Exchange Commission on Monday accused three former top officers of New Century Financial Corp. — once the U.S.' second-largest subprime lender — of lying to investors about the company's losses from loan defaults in 2006.

In the U.S. District Court for the Central District of California, the SEC filed a 52-page civil fraud suit against former CEO Brad A. Morrice, former Chief Financial Officer Patti M. Dodge and ex-Controller David N. Kenneally.

According to the regulator, the former executives hid important information...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.