Two former Celadon executives have been indicted on a total of 14 criminal charges and are facing an SEC civil complaint after allegedly taking part in a fraud scheme. The former president and the former chief financial officer are the latest to be charged thanks to an investigation which has already seen guilty pleas and settlements worth tens of millions of dollars.
On December 5th, the criminal charges and SEC complaint were filed against former Celadon President William Meek and former CFO Bobby Peavler. The two men allegedly took part in the accounting fraud scheme which saw the company’s share prices inflated artificially.
According to the SEC complaint, with the help of Peavler and Meek, Celadon was able to hide losses by selling trucks between Celadon and one of its subsidiaries. The company then filed these false financial reports with the SEC, falsely inflating the company’s value to shareholders, lenders, and investors. Additionally, Peavler and Meek allegedly lied to auditors to cover their tracks.
“These senior corporate executives at Celadon allegedly orchestrated a securities and accounting fraud scheme that misled shareholders, banks, accountants and the investing public,” said a Justice Department representative.
Earlier this year, Celadon settled a federal investigation into the case by agreeing to pay $42.2 million. Additionally, the head of one of Celadon’s subsidiaries pled guilty to charges stemming from the alleged fraud.
Peavler and Meek have been indicted on 14 counts including wire fraud, bank fraud, securities fraud, and more. In addition to the criminal charges, the SEC is seeking permanent injunctions, monetary penalties, and a bar on either of the men serving as officers or directors of public companies ever again.
Source: ttnews, freightwaves, truckersreport, truckersreport
CELEDON has been a real joke out here, and continues to be a permanent distraction to the trucking industry….Beware drivers!!!
The are closing there doors December 11th.
They should go on Fox and scream that it’s a witch hunt and a hoax. That seems to be the “go to defense” for incompetent criminals lately.
You’re clueless Vlad. Do your homework genius. Whose your source, bottom feeder CNN? Go figure. You sound about as ignorant as shifty Schiff. Get educated about what’s REALLY going on clownmaster.
Keep your political opions to yourself! #mislead #incompetent drone #can’t think for their self
😂😂😂goid response
Really!!!!!
The worse companies to drive for are the ones owned by private investment firms. They are bloodsuckers out to destroy the business.
100%
But according to Kevin Rutherford trucking companies are doing the right thing and where the drivers are the cry babies because we don’t like sitting for hours not being paid. Or maybe were not being treated with respect and dignity on the road ways. That dude is nothing but a corporate schill.
Karl… By constantly repeating his name you are advertising his radio show, and helping him to gain wealth and influence. Paying attention (any attention!) to a troll is feeding them. The way to kill a troll is to ignore them. If they can’t draw a reaction, they shrivel up like salted garden slugs.
not surprised, these scum stole over $1mil from my fathers company in kuwait/iraq in 2004-2005. Not until we involved their senate and congressional reps were we able to recover a little more than $100k.
You’re clueless Vlad. Do your homework genius. Whose your source, bottom feeder CNN? Go figure. You sound about as ignorant as shifty Schiff. Get educated about what’s REALLY going on clownmaster.
Crooked executives. 🤔 Hmm. Interesting. Lol
Conadon
Celadon files bankruptcy this week. All their drivers will be out of work and possibly stranded just before Christmas. If you see one at a truck stop lend him a hand reccomend them for a job at your company.
Well they should finish filling for bankruptcy today. All we can hope is that this starts a trend with these mega carriers, Swift, Werner and C R England are 3 who come to mind. It’d be the best thing to happen to this industry in a decade.
And of course any consequences for their white collar crime?? Nope. Crime does pay.
No jail time?