Conn's settles with SEC over underwriting policies, bad debt provisions
Conn's announced that it has reached a settlement with the SEC. The settlement arises from the previously disclosed SEC investigation commenced in November 2014 into the company's underwriting policies and bad debt provisions from July 31, 2012 to July 31, 2014. In connection with the settlement process, the SEC filed a civil complaint and agreed judgment against the company and a former officer in the U.S. District Court for the Southern District of Texas. Without admitting or denying the allegations in the SEC's complaint, the company consented to the entry of a final judgment pursuant to which it will pay a civil monetary penalty of $1.1M to the SEC. There will be no current period financial impact on the company's results, as an accrual for this amount was previously established and expensed.