Michael Nolan, former chief financial officer for United Rentals, has pleaded guilty to making false filings with the U.S. Securities and Exchange Commission. The false filings enabled Nolan to realize a profit of $11 million.
In December of 2000, Nolan falsely inflated United Rentals’ earnings per share by improperly recognizing $25.3 million in revenue and $12.2 million in profit for the fourth quarter of 2000, then benefited personally by selling company stock at an inflated price between March 2001 and March 2002.
Nolan, of Raleigh, North Carolina, faces up to 10 years in prison and a fine up to $22 million. He will also be required to pay $11.1 million in restitution.
United Rentals has been fully cooperating with the SEC and the United States Attorney’s Office, says company spokesman Joel Steinhaus.