US: SEC Opens Informal Probe Into Home Depot

Publisher Name: 
Reuters

The U.S. Securities and Exchange Commission has opened an informal investigation into charges that Home Depot Inc. inflated profits through supplier payments meant to cover the cost of damaged merchandise, the New York Post reported on Thursday.

The top home improvement retail chain is accused of inappropriately using so-called "return-to-vendor charges'' by overbilling suppliers for goods damaged during shipping, the newspaper said.

A Home Depot spokeswoman was not immediately available for comment.

AMP Section Name:Retail & Mega-Stores