Penn West execs’ legal move denied

CALGARY•ANewYork judge has dismissed attempts by two former executives at Calgary-based Penn

West Petroleum Ltd. to overturn fraud-related charges brought by the U.S. SEC.

Judge Gregory Woods says former CFO Todd Takeyasu and accounting vice-president Jeffery Curran are correct in arguing the SEC has little evidence of a personal motive for them to have acted fraudulently in the case.

But he added there is support for the SEC’s argument that the two were aware that accounting irregularities were taking place.

The SEC charges were laid against Penn West and three executives a year ago, shortly after it changed its name to Obsidian Energy Ltd.

None of the allegations has been proven in court.