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SEC Ends Wet Seal Probe

Foothill Ranch-based retailer Wet Seal Inc. said Wednesday the Securities and Exchange Commission has ended its formal investigation of the company with no enforcement action taken.

The SEC investigation began in early 2005 and was related to Wet Seal’s quarterly results in 2004.

In their probe, regulators looked at the 2004 sale of Wet Seal stock by Canadian lingerie retailer La Senza Corp.

Montreal-based La Senza’s chairman and chief executive, Irv Teitelbaum, stepped down as Wet Seal’s longtime chairman in 2004 to focus on expanding La Senza.

The probe focused on the timing of the stock sale and Wet Seal’s report of a $102.8 million quarterly loss.

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