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NEW YORK - David Stockman, a former Reagan White House budget director and ex-head of Collins & Aikman Corp, was indicted on fraud, conspiracy and other charges yesterday, accused of misleading investors when he was chief executive of the bankrupt auto parts maker.
Stockman and three other former executives are accused of orchestrating a scheme to hide the company's true financial condition when it was on the brink of collapse, according to an indictment unsealed in the US District Court in Manhattan.
Four other ex-company officials, including a former treasurer, have pleaded guilty to related charges.
The indictment accuses Stockman and others of manipulating reported earnings and issuing false statements, as well as engaging in fraudulent rebate schemes. Stockman is also accused of trying to thwart an internal investigation into the company's rebate accounting.
- REUTERS
