The Commission further alleged that Frissora approved Hertz’s decision to reaffirm its earnings guidance in November 2013 even if he knew that the company’s internal calculations showed that its earnings guidance was down.
Frissora left Hertz on July 16, 2015. Following his departure, the company restated its financial results for 2013 and previous periods. The restatement showed material accounting errors in 17 areas including its reserves. The restatement also revealed that Hertz overstated its GAAP pretax income by $235 million.
According to the SEC, Frissora aided and abetted Hertz in violating the Securities Exchange Act. He violated the Sarbanes-Oxley Act by failing to reimburse Hertz for the requisite amount of incentive-based compensation.
the company in its filing of inaccurate financial statements and disclosures. Frissora has agreed to settle the charges and repay Hertz nearly $2 million in incentive-based compensation.
Frissora agrees to settle SEC charges
According to the SEC, Frissora agreed to settle without admitting or denying the allegations against him.
