Bradley steps down as Handy Hardware Wholesale CFO

Houston-based Handy Hardware Wholesale accepted the resignation of CFO Lynn Bradley, following the disclosure of a Securities and Exchange Commission settlement connected to Bradley's alleged actions at a previous employer.

Bradley will remain with Handy in the position of senior director of retail development.

Handy executives explained in an Aug. 6 letter to members that the company recently became aware of an SEC fraud action against Bradley settled in 2007 and unrelated to dealings with Handy Hardware. The settlement ended with Bradley neither admitting nor denying charges, and included an agreement for him not to serve as an officer or director of a publicly traded company.

Handy said it had been unaware of the SEC action, which occurred before it hired Bradley. The company also said it was unaware of the signing of the SEC consent decree after he began working at Handy. While Handy apologized for insufficient diligence over the matter, the company said it believes no law or decrees were violated as the result of hiring Bradley.

"For us, this is an issue of openness and honesty, the bedrock upon which Handy has been built and upon which the company and its staff operate," the Aug. 6 letter read. "We feel strongly that Lynn's omission is serious enough for us to accept his resignation from his positions of chief financial officer and senior VP sales."

The company also said Bradley's performance while at Handy was "highly beneficial to the company and to our members." The letter also said "the company is on solid financial footing."