Law Enforcement Associates, which has come under scrutiny for allegations of insider trading and other illegal activities, has named a new top executive.
The Raleigh company announced today that it promoted chief financial officer Paul Briggs to the CEO spot. He replaces Alan Terry, who took over as LEA's interim CEO in August.
The maker of electronic surveillance gear is being investigated by regulators for its contracts with state agencies. In addition, LEA's former CEO and sales director have accused company officials, including chairman Tony Rand and Briggs, of numerous crimes.
"Paul possesses a thorough knowledge of LEA's specialized business, its customers and its long-range growth opportunities," Rand, a Fayettevile Democrat who plans to step down from the state senate this year, said in a prepared statement. "Upon his arrival at the company in 2008, he spearheaded a successful effort to reduce expenses, improve operating efficiencies and return the company to profitability."
Last week, the company released the results of its own investigation that found no evidence of wrongdoing by Rand or other company officials.
In a prepared statement, Terry said part of his objective was to work with the outside lawyer that reviewed the allegations from LEA's former CEO. "With this important assignment now complete, I have great confidence in passing the leadership of LEA to Paul Briggs," Terry said.
LEA's shares rose 3 cents to 13 cents today. The shares surged above $10 in early 2005.
Briggs also will take Terry's spot on LEA's board. Briggs, 39, served in the Navy in the early 1990s and in May 1999 received a Master's in accounting from East Carolina University.
LEA will pay him an annual salary of $135,000, according to a filing with the Securities and Exchange Commission.