date:Jan 13, 2014
The S.E.C. alleged Mr. Neil, then chief financial officer for the San Francisco-based snack foods company, directed an effort to fraudulently underreport money paid to walnut growers by delaying the recording of payments into later fiscal periods. Because of the manipulated walnut costs, Diamond Foods reported higher net income and inflated earnings to exceed analysts estimates for fiscal quarters in 2010 and 2011.
The S.E.C.s litigation continues against Mr. Neil.
The S.E.C. also alleges Mr.