The SEC never accused the executive, Maynard Jenkins, of any wrongdoing.
But in 2009, the commission moved to recoup the $2.8m in bonus and stock profits on behalf of CSK, citing the accounting compliance law known as the Sarbanes-Oxley Act (SOX).
The SEC filed court papers against Jenkins in July 2009 saying he violated the SOX clawback provision by failing to reimburse the company.
SEC director of Division of Enforcement Robert Khuzami said CEOs should know that they can be deprived of bonuses or stock profits they received while accounting fraud was occurring on their watch.
Jenkins has agreed to settle with the SEC and return nearly $2.8m to his past company, which is now run by O’Reilly Automotive.
