SEC Charges Former Online Marketing Company Executive with Inflating Operating Metrics
Litigation Release No. 24242 / August 21, 2018
Securities and Exchange Commission v. Harpreet Grewal, No. 18-cv-11778 (D. Mass. filed August 21, 2018)
The SEC filed a complaint today in U.S. District Court in Massachusetts alleging that former Constant Contact, Inc. Chief Financial Officer Harpreet Grewal hid the company's slowing customer growth from investors and inflated its publicly reported subscriber numbers.
The complaint against Grewal charges him with violating Section 10(b) of the Securities Exchange Act of 1934 ("Exchange Act") and Rule 10b-5 and 13a-14 thereunder and Section 17(a) of the Securities Act of 1933 ("Securities Act"). The complaint also alleges that Grewal aided and abetted Constant Contact's violations of Section 13 of the Exchange Act and Rules 12b20, 13a-1, 13a-11, and 13a-13 thereunder.
The case is being handled by Michael J. Vito, David M. Scheffler, Rachel E. Hershfang, Patrick Noone, and Celia D. Moore of the Boston office.