A company providing services to healthcare facilities will pay $ 6 million to settle accounting and disclosure fees that made it possible to report earnings per share that met research analysts' consensus estimates for several quarters, the US Securities and Exchange Commission said in a statement. Tuesday.
Bensalem Township, Pennsylvania-based Healthcare Services Group Inc., said in a statement that it was "happy to put this issue behind us."
The SEC said in a statement that in 2014 and 2015 the company, which provides housekeeping, restaurants and other services to healthcare facilities, failed to disclose issues related to private disputes against it, in accordance with the requirements of generally accepted US accounting principles, which made it possible to meet or get close to meetings, analysts' estimates.
According to the SEC statement, Healthcare Services Group's former CFO, John C. Shea, failed to direct the recording or disclosure of the related loss-related events at. imely basis and its controller, Derya D. Warner, made other accounting items that are not supported by sufficient documentation under company policies.
The company was prosecuted for violating federal securities laws. It has neither acknowledged nor denied the SEC's allegations. Shea, who agreed to pay a $ 50,000 fine, will become the company's chief administrative officer from Sept. 1