Ex-IRB Brasil Exec to Pay $500,000 Over Fake Berkshire Story

A former executive of IRB Brasil Resseguros SA will pay a $500,000 penalty to resolve an SEC case alleging he planted a false story in media outlets and spread documents misrepresenting that Berkshire Hathaway Inc. had made a substantial investment in the Brazilian reinsurance company.

Fernando Passos, the former executive vice president of finance and investor relations at IRB, consented to the order from Judge Gregory H. Woods entered Wednesday in the US District Court for the Southern District of New York. The agreement also bars him from serving as a director or officer of a public company.

Passos fabricated ...