Caterpillar reports SEC investigation of cash movement

Tue Feb 17, 2015 8:30pm EST
 
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(Reuters) - The movement of cash among Caterpillar Inc's U.S. and foreign subsidiaries is being investigated by U.S. authorities, the company said in a regulatory filing on Tuesday.

The heavy machinery maker said it had received a grand jury subpoena from a U.S. District Court on Jan. 8 and is cooperating with the investigation. (bit.ly/1JounJM)

The company believes that the investigation would not have a material effect on its financial position.

Caterpillar also said in its latest filing that it had made a presentation to the SEC on Caterpillar SARL, on which the regulatory authority is conducting an investigation.

The company is also in talks with the SEC about a possible resolution of another federal investigation, involving Caterpillar’s Progress Rail subsidiary.

The company believes that “a loss is probable” as a result of the Progress Rail situation but that the company did not expect the investigation to have a major negative effect on its finances.

Caterpillar was not immediately available for comment after regular business hours.

(Reporting by Sudarshan Varadhan in Bengaluru; Editing by Lisa Shumaker)

 
Caterpillar CEO Douglas Oberhelman is pictured on the floor of the New York Stock Exchange in New York December 22, 2014.    REUTERS/Carlo Allegri