On March 15th, Bloomberg reported that two pension funds have sued the directors of Beazer Homes USA Inc. alleging that the directors failed to act in the best interest of shareholders when the directors approved pay raises for the company's executives while Beazer had $34 million in losses. Lawsuit. On March 3, 2011, the SEC announced it had filed settled compensation clawback claims against Beazer's CEO Ian J. McCarthy. The Commission alleged that McCarthy was not entitled to bonuses and other performance-based compensation he received during the 12-months after Beazer filed fraudulent financial statements for its 2006 fiscal year. SEC Press Release.