SEC SAYS COMPANY INFLATED 1982/83 INCOME
The Securities and Exchange Commission
charged Windsor Holding Co, a Chicago-based lamp and ceiling
fan maker, with fraudulently overstating its 1982 and 1983
pre-tax income by a total of 3.6 mln dlrs.
    Simultaneously with the filing of the civil case in U.S.
District Court here, the company, formerly Windsor Industries
Inc, three former officers and a former director, agreed to
settle the charges without admitting or denying them.
    But under the settlement, the company and the other
defendants consented to court orders barring them from
committing further violations of securities law.
    There were no monetary penalties in the settlement and the
company, which was delisted from the National Association of
Securities Dealers Automated Quotation, NASDAQ, system in May
1985, was not required to restate its earnings.
    The SEC charged Jose Arrojo, a vice president of a Windsor
subsidiary, Ronald Kahn, former vice of the company, and David
Garvin, former president of a Windsor subsidiary, with taking
part in a scheme to inflate the value of Windsor's 1982
year-end inventory, resulting in a 2.0 mln dlr overstatement of
the company's pre-tax income for that year.
    The company's inventory was again falsified a year later,
resulting in a 1.6 mln dlr overstatement, the SEC charged.
    Another defendant, Arthur Usheroff, a former Windsor board
member, the company and Kahn also failed to disclose in an SEC
filing an arrangement under which Usheroff was compensated for
services rendered in a 1983 Windsor public stock offering, the
agency said.
    Arrojo, Kahn and the company were also charged with making
false statements in required SEC filings.
    Windsor filed for bankruptcy in August 1985 and had a plan
of reorganization approved last December.
 Reuter
