CSK Settles Earnings Manipulation Claims For $21M

Law360, San Diego (September 9, 2011, 9:58 PM EDT) -- CSK Auto Corp. has agreed to pay $20.9 million to resolve allegations that the auto parts retailer violated securities laws by engaging in an earnings manipulation and double billing scheme, according to federal regulators Friday.

The U.S. Department of Justice said that as part of the nonprosecution agreement, CSK accepted responsibility for illegal conduct by its former employees, who helped the company artificially boost its pretax income by $52 million between 2002 and 2004 by claiming certain amounts were income when they were really vendor rebates...
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