WASHINGTON, March 13 Entertainment company Lions
Gate Entertainment Corp admitted on Thursday to
misleading investors in 2010 when it was facing a hostile
takeover and agreed to pay $7.5 million to settle civil charges,
U.S. regulators announced.
The settlement, with the U.S. Securities and Exchange
Commission, marks the sixth time now that the agency has managed
to extract an admission of wrongdoing from a defendant since
changing its settlement policy last June.
The SEC's case relates to a hostile bid by investor Carl
Icahn for the company, though the charging documents do not cite
Icahn by name.
The SEC alleges the company engaged in a series of
transactions that put millions of newly issued shares into the
hands of a management-friendly director in order to defeat the
hostile tender offer, without explaining the maneuver properly