Back in September 2009, the former CEO of American Italian Pasta Company, CEO Timothy S. Webster, pleaded guilty to one count of conspiracy to commit wire fraud for his role in concealing the company’s true financial condition and filing materially false reports with the SEC. Webster also settled the SEC accounting fraud case against him, agreeing to pay more than $1 million.
Today, the Kansas City Business Journal reports that American Italian Pasta Co. is suing Webster to get back more than $2 million in legal fees it advanced to defend him in the civil and criminal proceedings. The company contends that Webster must repay the legal fees in large part because he admitted guilt in the criminal case.
Read the Kansas City Business Journal article
