SEC Settles Accounting Charges With Chipmaker, Ex-CFO

The Securities and Exchange Commission said it's settled accounting fraud charges with a South Korean chipmaker and its former chief financial officer. According to the SEC, MagnaChip Semiconductor overstated revenues for nearly two years, and then-CFO Margaret Sakai directed or approved several fraudulent accounting practices to make it falsely appear the company had met revenue and gross margin targets. Without admitting or denying the findings in the SEC's order, MagnaChip agreed to pay a $3 million penalty and Sakai agreed to pay a $135,000 penalty. Sakai also agreed to be barred from serving as an officer or director of a public company and from appearing or practicing before the SEC as an accountant.