Sign up for our daily briefing
Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.
Catch up on coronavirus stories and special reports, curated by Mike Allen everyday
Catch up on coronavirus stories and special reports, curated by Mike Allen everyday
Denver news in your inbox
Catch up on the most important stories affecting your hometown with Axios Denver
Des Moines news in your inbox
Catch up on the most important stories affecting your hometown with Axios Des Moines
Minneapolis-St. Paul news in your inbox
Catch up on the most important stories affecting your hometown with Axios Twin Cities
Tampa Bay news in your inbox
Catch up on the most important stories affecting your hometown with Axios Tampa Bay
Charlotte news in your inbox
Catch up on the most important stories affecting your hometown with Axios Charlotte
The SEC has issued an order fining HR software company Zenefits and its former co-founder and CEO, Parker Conrad, for not complying with certain regulations and making false and misleading statements to investors. The revelations of Zenefits' lack of compliance led to Conrad's ouster in early 2016. In total, they'll have to pay over $980,000.
Why it matters: This is the first tech industry "unicorn" — a private company valued at over $1 billion — that the SEC has gone after in this way. The commission did hint last year that it would be watching Silicon Valley much more closely.
"This settlement closes the chapter on a journey we began 18 months ago to transform Zenefits through new values and leadership," said Josh Stein, General Counsel at Zenefits, in a statement.
"I'm pleased to have reached an agreement with the SEC regarding Zenefits, and I'm incredibly proud of what we built there and grateful to have worked with such a talented group of people," said Conrad, who now runs a new startup, in a statement sent to Axios.
The story has been updated with a statement from Parker Conrad.