The Colorado Springs Gazette final

Lyft to pay $10 million civil penalty over disclosure failures

WASHINGTON • Lyft has agreed to pay $10 million to settle Securities and Exchange Commission charges it failed to disclose a board member’s financial interest in a transaction involving the company, the U.S. regulator said Monday.

Prior to its public listing in March 2019, a Lyft board director arranged for the sale of $424 million worth of private shares through a special purpose vehicle affiliated with the director, the SEC said in a statement.

Lyft did not disclose this information in its SEC filings for 2019, said the regulators, who did not disclose the director’s name.

Representatives for Lyft, which did not admit or deny the SEC allegations, did not respond immediately to requests for comment.

The SEC said that Lyft was required to report details of the transaction because Lyft, which approved sale of the private shares, was a participant in the deal.

The director left Lyft’s board at the time of the transaction, regulators said.

BUSINESS

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2023-09-19T07:00:00.0000000Z

2023-09-19T07:00:00.0000000Z

https://daily.gazette.com/article/281986087163923

The Gazette, Colorado Springs