LATAM Airlines Group has issued the following information
|View printer-friendly version|
Santiago, Chile, February 4, 2016 – LATAM Airlines Group S.A. (“LATAM” or “the Company”) (NYSE: LFL / IPSA: LAN / Bovespa: LATM33), today announced that Ignacio Cueto Plaza, CEO of LAN Airlines, has consented to the entry of a cease-and-desist order by the Securities and Exchange Commission (SEC) concerning the books and records and internal controls provisions of the U.S. Securities Exchange Act of 1934.<?xml:namespace prefix="o" ns="urn:schemas-microsoft-com:office:office"?>
The allegations set forth in the Order relate to an isolated matter which occurred in 2006 – 2007. As previously disclosed in LATAM’s public filings, the issue is related to consultant fee payments made by LAN Airlines S.A. to a consultant on labor matters in Argentina which were not accurately recorded in the Company’s accounting records. Ignacio Cueto consented to the Order and agreed to pay a $75,000 penalty to the SEC and to remain in compliance with LATAM’s compliance structure and internal accounting controls.
Over the past decade, since the occurrence of this event, LATAM Airlines Group has implemented significant enhancements to its compliance structure and internal accounting controls. LATAM Airlines Group and its senior executives maintain a strong commitment to complying with all laws and regulations in all countries where the company operates. The Company has been cooperating with the investigation of the U.S. regulatory authorities and will continue to do so as necessary.