Wednesday, April 29, 2009

SEC Fraud Gets Fine, Little More

The Chief Executive Officer of American Home Mortgage Investment Corp. settled with the SEC on fraud charges. The SEC brought charges against three AHMI executives for misrepresenting the firm's finances. CEO Micheal Strauss agreed to pay a $2.45 million fine and not serve as an officer or director of a public firm for five years.

This level of "justice" is common for executives. Pay a fine and don't admit guilt. That leaves them free to abuse another day. Surely a private firm will hire Strauss.