On December 9, 2020, the U.S. Securities and Exchange Commission (“SEC” or “Commission”) issued the Order instituting and simultaneously settling cease-and-desist proceedings (the “OIP”) against General Electric Co. (“GE”). In the OIP, the Commission found that GE failed to disclose to investors material information related to two of its key reportable segments during the period from 2015 through 2017.
The OIP ordered GE to pay a civil money penalty in the amount of $200,000,000, and created a Fair Fund pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002 (the “GE Fair Fund”) to be used to distribute the penalty to investors harmed by the alleged misconduct.
On September 16, 2021, the Commission appointed RCB Fund Services LLC, as the fund administrator for the GE Fair Fund to oversee all aspects of the administration and distribution of the Fair Fund.
The SEC’s Division of Enforcement has submitted to the Commission a proposed plan of distribution (the “Proposed Plan”) for the distribution of GE Fair Fund. The Proposed Plan sets forth the eligibility criteria and other rules governing the administration and distribution of the GE Fair Fund.
If you purchased GE common stock on a U.S. exchange during the period from October 16, 2015 through the close of the market on January 16, 2018, you may be eligible for compensation from the GE Fair Fund.