Financial Accountant of Irish Subsidiary of Zomax, Inc. Ordered to Cease-and-Desist Violations of Securities Laws

SEC found that respondent, along with the General Manager and Controller of Zomax Ireland, engaged in a fraudulent scheme to inflate financial results by manipulating certain accounts to hide declining performance during 2004. Respondent’s duties included making journal entries for Zomax Ireland’s operations facility and sending monthly financial documents to the parent (a Minnesota-based manufacturer). He was allegedly directed to make false journal entries to overstate the sales accrual account, to capitalize spare machine parts that should have been expensed, to understate accruals for employee holiday pay, and conceal the fraudulent conduct in the financial information sent to Zomax, Inc.