NEWS19 March 2010

Former InfoGroup CFO rejects SEC settlement

Legal North America

US— InfoGroup’s former chief financial officer Stormy Dean has rejected a settlement with the US Securities and Exchange Commission, according to reports.

Dean (pictured), who says he was sacked “without cause” last year, is claiming more than $1m in unpaid severance and bonuses from InfoGroup. He said he is confident of winning the suit.

Earlier this week, former InfoGroup chairman and CEO Vin Gupta agreed to pay $7.4m to settle charges from the Securities and Exchange Commission (SEC) that alleged he used the company like a “personal ATM” to fund a lavish lifestyle.

The SEC accuses Dean, together with another former CFO, Rajnish Das, of enabling Gupta to carry out the scheme. An investigation into both men’s activities is ongoing.

In a statement obtained by The Associated Press, Dean said he has rejected a settlement with the SEC. In response to suggestions that he should have reported Gupta’s spending, Dean said that everyone at InfoGroup deferred to Gupta, the AP reported.