California CEO Gets 5 Years Probation

This week on Wednesday, Bruce Karatz was sentenced to five years of probation including eight months of house arrest.  Karatz had a 20 year run as the CEO of KB Home was accused of manipulating the value of stock options.

Aside from having to adhere to the terms of his probation, U.S. District Judge Otis D. Wright II also fined the former CEO $1 million and ordered him to perform 2000 hours worth of community service.  Prosecutors had requested a long prison sentence.  However, the judge said there was no evidence that the crimes that were committed cause damage to KB Homes or its shareholders.

In April, 65-year-old Karatz was convicted on charges that he lied about the company's practice of backdating options.

Have you been charged with a major white collar crime in California?  Now is the time to contact our law office to review legal options with a Riverside criminal defense attorney.