ProPetro, U.S. SEC settle charges on ex-CEO’s undisclosed perks

A general view of an equipment yard of ProPetro in Midland, Texas

By Liz Hampton

(Reuters) – The U.S. Securities and Exchange Commission said on Monday Texas-based oilfield services company ProPetro Holding Corp and its founder and former CEO Dale Redman have agreed to settle charges for failing to properly disclose some of Redman’s executive perks and two stock pledges.

The SEC’s order said Redman charged ProPetro $380,594 worth of personal and travel expenses unrelated to the performance of his duties as CEO and failed to disclose stock pledges for two private real estate transactions, the regulator said in a statement.

Redman resigned from ProPetro last year less than three weeks after Reuters sent company executives a letter seeking comments for an investigation into the stock pledges and other aspects of his financial affairs.

Redman has agreed to pay a $195,046 as part of the settlement.

ProPetro on Monday issued a statement saying it had entered into a settlement with the SEC and that it was not required to pay any monetary penalty. Redman could not be reached for comment.

(Additional reporting by Kanishka Singh and Chris Prentice; Editing by Mark Porter and David Gregorio)