Penthouse finally produces barely legal issue

Penthouse International settled with the SEC yesterday, over charges of accounting fraud and financial reporting violations. Of course Penthouse settled without admitting any wrongdoing, like improperly booking a $1 million payment from a Web site management agreement as revenue or changing a quarterly loss to a net profit in the 2003 first quarter 10-Q. Penthouse would file for Chapter 11 later that year.
Former exec and shareholder Charles Samel and Jason Galanis agreed to pay $60k for allegedly using a fake e-signature of former CEO Bob Guccione to meet SarbOx requirements.
Penthouse settles accounting fraud case with SEC [Reuters]