Documents Recently Received (or Denied)
BancorpSouth, Inc. (BXS): An example of helpful disclosures concerning an SEC probe - Documents Released. At a time when we find [way] too many companies don’t even bother to disclose their SEC probes, or those that do so provide the scantest of information, BancorpSouth stands out as deserving credit for better-than-average disclosures on a formal SEC probe.
Recently received documents confirm what this company disclosed in a 10-Q filed 07-Nov-2013, as seen below –
In November 2010, the Company was informed that the Atlanta Regional Office of the SEC had issued an Order of Investigation concerning the Company. In August 2013, the Company was informed that this investigation had been completed as to the Company and that the Atlanta Regional Office does not intend to recommend any enforcement action by the SEC.
Then check-out the following, from the 10-Q filed 6-Aug-2013 --
In November 2010, the Company was informed that the Atlanta Regional Office of the SEC had issued an Order of Investigation concerning the Company. This investigation is ongoing and is primarily focused on the Company’s recording and reporting of its unaudited financial statements, including the allowance and provision for credit losses, its internal control over financial reporting and its communications with the independent auditors prior to the filing of the Company’s Annual Report on Form 10-K for the year ended December 31, 2009. In connection with its investigation, the SEC issued subpoenas for documents and testimony, with which the Company has fully complied. The Company is cooperating fully with the SEC. No claims have been made by the SEC against the Company or against any individuals affiliated with the Company.
Sure, it would have been nice to know when the matter actually started. We doubt it commenced as a formal probe. It also would be nice to more about what aspect of the provision for credit losses was at issue. But the bottom line is investors at least had something to go on, again, far more than we typically see.
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Notes: The SEC did not disclose the details on investigations referenced above. The SEC reminds us that its assertion of the law enforcement exemption should not be construed as an indication by the Commission or its staff that any violations of law have occurred with respect to any person, entity, or security. New SEC investigative activity could theoretically begin or end after the date covered by this latest information which would not be reflected here.
