The US Securities and Exchange Commission (SEC) has fined Californian insurance firm Zenefits, as well as its one-time CEO, $1m over accusations that it cheated regulations and lied to shareholders. Zenefits was accused of using software bots to help its brokers pass state licensing courses and gain certification without spending the required training time. They are then said to have lied to investors about the practice. Under the settlement with the SEC, Zenefits and its founder Conrad will pay the penalty without having to admit guilt.
The US Securities and Exchange Commission (SEC) has fined Californian insurance firm Zenefits, as well as its one-time CEO, $1m over accusations that it cheated regulations and lied to shareholders. Zenefits was accused of using software bots to help its brokers pass state licensing courses and gain certification without spending the required training time. They are then said to have lied to investors about the practice. Under the settlement with the SEC, Zenefits and its founder Parker Conrad will pay the penalty without having to admit guilt.