 On February 4, 2005, the Securities and Exchange Commission filed civil charges against two former employees of Anchor Bay Entertainment, a former subsidiary of Handleman Company.The SEC's complaint, which was filed in the United States District Court for the Eastern District of Michigan, alleges that the two employees caused the company to enter into a 2 million-dollar fraudulent transactions.The transactions involved the purported sale of slow-moving or obsolete inventory to business partners coupled with secret buy-back provisions.