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Director’s Failure to Investigate “Red Flags” Prompts SEC Enforcement Action That Should Serve as Warning to All Outside Directors
May 24, 2010
Colby A. Smith, Paul R. Berger, Jonathan R. Tuttle, Ada Fernandez Johnson, John B. Missing

This client update discusses a recent SEC enforcement action against an outside director of a public company for allegedly failing to investigate "red flags" of fraudulent conduct within the company, and for allegedly failing to ensure the accuracy of the public filings that the outside director signed.

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