September 05, 2008
GE says SEC probing possible securities violations
The Associated PressGeneral Electric Co. says the Securities and Exchange Commission staff has notified the company it may recommend fines and other action for possible violations of securities laws.
GE said Friday that the notification concerns issues from several years ago over its accounting for derivatives formerly used to hedge the risk of interest-rate changes related to commercial paper and derivatives in which a fee was a part of the consideration for the derivative.
GE disagrees with the recommendation but says it is cooperating with the SEC.