Securities and Exchange Commission
Litigation Release No. 17489 / April 24, 2002
Accounting and Auditing Enforcement Release No. 1548 / April 24, 2002
SEC v. Kenneth W. Haver, U.S. District Court for the Northern District of Ohio, Akron Division, Docket No. 5:02CV414
FINAL JUDGMENT ENTERED AGAINST FORMER TELXON CFO KENNETH HAVER
The Securities and Exchange Commission today announced that the Honorable James Gwin of the United States District Court for the Northern District of Ohio has entered a Final Judgment against Kenneth W. Haver, the former Chief Financial Officer of Telxon Corp. In its complaint, filed March 5, 2002, the Commission alleged that Haver, age 43, of Akron, Ohio, caused Telxon to recognize revenue improperly in the fall of 1998, and that Haver failed to properly account for several other prior transactions. On March 13, 2002, Haver consented, without admitting or denying the allegations of the complaint, to the entry of the Final Judgment, which permanently enjoins Haver from violating Sections 10(b) and 13(b)(5) of the Exchange Act and Rules 10b-5 and 13b2-1 promulgated thereunder, and further enjoins him from aiding and abetting violations of Sections 13(a), 13(b)(2)(A) and 13(b)(2)(B) of the Exchange Act and Rules 12b-20, 13a-1 and 13a-13 thereunder, and orders him to pay a civil penalty of $75,000. Haver, an inactive CPA licensed in Ohio, also consented to the entry of an order under the Commission's Rule of Practice 102(e) which will suspend him from appearing or practicing before the Commission as an accountant for five years. Prior to being acquired by another company in December 2000, Telxon was a leading manufacturer of hand held computers and related systems.