Washington (Feb. 19, 2003) -- The Securities and Exchange Commission has settled charges against Monterey Park, Calif. CPA Glen Morinaka, former chairman and chief financial officer of Gas & Oil Technologies Inc.
Morinaka agreed, without admitting or denying the findings in an order against him, to cease and desist violating securities laws and agreed to be barred from practicing before the SEC as an accountant.
The SEC in October 2001 filed an Order Making Findings against Gas & Oil and Morinaka. According to the SEC, Gas & Oil filed its Form S-1 with the Commission containing financial statements in which the company improperly recorded $21.75 million as both an asset and income from the acquisition of certain Russian patents. The $21.75 million represented 100 percent of Gas & Oil's income and nearly all of its assets.
The SEC said Gas & Oil and Morinaka misrepresented the company’s financial condition and results of operation when they failed to properly record the patent acquisition, and that Morinaka was personally involved in preparing the misleading disclosure made in the registration statement, and that he prepared the financial statements included in the registration statement.
Morinaka is currently a sole practitioner in Los Angeles and is a member of the American Institute of CPAs and the California Society of CPAs.
-- Electronic Accountant Newswire staff
