Beazer Homes CEO Could Face Charges

ATLANTA (TheStreet) -- The CEO of Beazer Homes(BZH Quote) could be facing civil charges over incentive compensation.

Chief Executive Ian McCarthy received a Well notice from the Securities and Exchange Commission, which means the staff intends to recommend civil charges against him for possible securities violations. Recipients of the notices can respond to the allegations before the commission decides on any enforcement action

Beazer said McCarthy intends to respond to the notice, which is neither a formal allegation nor a finding of wrongdoing.

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

The company itself is not named in the notice.

Last year, Beazer settled an SEC investigation into its financial statements, never admitting or denying any wrongdoing. The company did not pay any fines or penalties under the settlement, but consented to a cease-and-desist order requiring future compliance with federal securities laws and regulations.

Shares of Beazer are tumbling 4.9% to $5.22 in morning trading.

-- Reported by Jeanine Poggi in New York

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