Ex-Kmart to exec ordered to pay $10M
by Associated Press
Published: February 25,2010
DETROIT — The former head of Kmart Corp. has been ordered to pay more than $10 million for misleading investors about the retailer’s health before it sought bankruptcy court protection in 2002.
U.S. Magistrate Judge Steven Pepe (Payp) released a 70-page decision Thursday, nearly nine months after Charles Conaway was found liable in a civil trial in Michigan.
The case was a fresh look at Conaway’s brief tenure at Kmart and the desperate scramble to keep the company afloat before one of the largest bankruptcy reorganizations in retail history.
The Securities and Exchange Commission had accused Conaway of failing to disclose that Kmart was delaying payments to suppliers to save cash.
Conaway will appeal the jury’s verdict and the financial penalties.
To sign up for Mississippi Business Daily Updates, click here.
Twang & Tourism: The Country Music Trail
Still planning that summer vacation?
FOLLOW THE MBJ ON TWITTERMy Tweets
Top Posts & Pages
- Family launches Billups Coffee with headquarters in Oxford
- Chris McDaniel responds to radio show audio clip
- ‘Just the beginning’ — Venture Technologies merging, acquiring companies
- Man indicted, accused of bankruptcy fraud
- Running luxury car dealerships, like Mercedes of Jackson, comes naturally to Trudy Higginbotham Moody
- Grenada native Donna Tartt wins Pulitzer Prize for 'The Goldfinch'
- TODD SMITH — Taco Bell and McDonalds take breakfast war viral; how to write killer news releases and more
- Chaney drops lawsuit against National Flood Insurance Program
- Fight between county, insurer over courthouse fire continues
- Judge to rule on release of Kemper power plant data