Excel Accused by SEC Of Misreporting Losses
WASHINGTON -- The Securities and Exchange Commission has charged Excel Bancorp. with violating the agency's reporting and accounting rules on 1990 financial statements.
Without admitting or denying the allegations, the Massachusetts holding company agreed to a cease-and-desist order prohibiting such behavior in the future.
The SEC said that in 1990 Excel failed to classify as "other than temporary" those declines in market values below the cost bases of certain noncurrent, marketable equity securities that were issued by New England financial institutions.
These declines, as originally reported, resulted in unrealized losses of $2.2 million at yearend 1990, the SEC said. It concluded that Excel should have written down the securities to their realizable values and recognized the corresponding losses in the appropriate periods.
Excel has $886 million in assets.