Core Viewpoint - Archer Daniels Midland (ADM) reached a $40 million settlement with the SEC to resolve allegations of defrauding investors by inflating profit margins in its nutrition segment [1][3]. Group 1: Settlement Details - The settlement concludes a regulatory investigation into ADM's accounting practices, which led to a significant decline in stock value and the departure of several top executives [3]. - ADM settled the case without admitting any wrongdoing [3]. Group 2: Allegations and Investigations - The SEC's case focused on actions taken between 2021 and 2022, where then-CFO Vikram Luthar allegedly directed accounting adjustments to inflate profits in the nutrition division [4]. - The SEC claims these adjustments were intended to misrepresent the success of the nutrition business, which ADM has heavily invested in through acquisitions [4]. Group 3: Individual Accountability - The SEC has filed a separate lawsuit against Luthar, alleging he directed the fraud and profited by selling over $1.8 million in ADM shares while the stock price was inflated [5]. - The SEC seeks to recover Luthar's gains, impose financial penalties, and bar him from serving as an officer or director of any public company [6]. Group 4: Company Response - ADM's CEO expressed satisfaction in moving past the investigation and reaffirmed the company's commitment to transparency and integrity [6]. - A separate criminal investigation by federal prosecutors has been closed without any charges being filed [6].