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NEW YORK---A California woman has been sentenced to three months in prison for her role in a fraud scheme involving Impath securities.
Anuradha D. Saad, 49, of Beverly Hills, former chairwoman of the board and chief executive officer of Impath Inc. was sentenced by U.S. District Judge Jed S. Rakoff.
Impath was a New York-based health care company that provided cancer information services and filed for bankruptcy protection in September 2003, following the disclosure of possible accounting irregularities, according to publicly filed documents in the case.
On Sept. 21, Saad pleaded guilty to two counts of soliciting proxies containing false proxy statementsqa and one count of knowingly failing to implement a system of internal accounting controls.
According to the superseding Information and her statements in connection with her guilty plea, Saad solicited proxies on behalf of Impath which were false and misleading because they did not disclose compensation to Saad in the form of
personal expenses charged to an Impath corporate credit card and paid for by Impath, totaling approximately $120,000, including charges for furniture, electronic equipment, beauty products, artwork, and personal travel.
Additionally, according to the superseding Information and Saad’s statements in connection with her guilty plea, Saad knowingly failed to implement a system of internal accounting controls at Impath sufficient to provide reasonable assurances.
that manual entries made to Impath’s general ledger accurately and fairly reflected Impath’s actual revenues and other sales information.
Richard P. Adelson, Impath’s former president and chief operating officer, was previously charged with one count of conspiracy to commit securities fraud, to make false statements in filings with the United States Securities and Exchange Commission and to falsify Impath’s books and records, one count of securities fraud, and eight counts of making false filings with the SEC.
Trial on those charges is scheduled to commence Jan. 30 before Judge Rakoff. 1-23-06
© 2005 North
Country Gazette
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