SEC Staff Targets Beazer Homes CEO Over Bonus Pay

MARK JEWELL

BOSTON (AP) — Federal regulators may try to collect bonus money awarded to the top executive of Beazer Homes USA Inc. covering periods when the homebuilder restated financial results.

Beazer Homes said in a regulatory filing Monday that Securities and Exchange Commission staff issued a so-called Wells notice to CEO Ian McCarthy, citing an anti-fraud law provision allowing the government to "claw back" compensation in some instances.

The notification comes more than a year after Atlanta-based Beazer settled a Securities and Exchange Commission investigation into its financial statements.

The notice disclosed Monday means SEC staff intends to recommend to the full commission that civil charges be filed against McCarthy. Beazer said McCarthy intends to respond to the notice, which is not a formal allegation nor a finding of wrongdoing.

Beazer said SEC staff recommended action against McCarthy "to collect certain incentive compensation and other amounts allegedly due" under the clawback provision of the Sarbanes-Oxley Act of 2002. The company's filing did not disclose how much compensation is involved, or other details about the pay. Beazer spokeswoman Leslie Kratcoski declined to comment.