Billionaire Carl Icahn and his company have been charged by U.S. regulators for failing to disclose personal loans worth billions of dollars that were secured using securities of Icahn Enterprises as collateral. The Securities and Exchange Commission announced that Icahn and his company have agreed to pay $1.5 million and $500,000 in civil penalties, respectively, to settle the charges.
The SEC revealed that from at least Dec. 31, 2018, to the present, Icahn pledged approximately 51% to 82% of Icahn Enterprises' outstanding securities as collateral to secure personal loans with various lenders. It was noted that Icahn Enterprises failed to disclose Icahn’s pledges of the company's securities as required in its annual report until Feb. 25, 2022.
