The Securities and Exchange Commission charged Biovail, its founder Eugene Melnyk (photo [1]), and three other current and former executives with fraud, alleging that they repeatedly overstated earnings and hid losses. The company will pay a $10 million fine to settle its case, but charges against Melnyk, former CFO Brian Crombie, current controller John Miszuk, and current CFO Kenneth Howling remain outstanding. The two current executives have been reassigned to non-officer roles within the company. Release [2] | Report [3]
Links:
[1] http://www.fiercebiotech.com/pages/biovail-founder-eugene-melnyk
[2] http://www.fiercebiotech.com/press-releases/biovail-reaches-settlement-sec-provides-update-osc-investigation
[3] http://www.globeinvestor.com/servlet/story/RTGAM.20080324.wbiovail0324/GIStory/