The Securities and Exchange Commission alleges that the trio had colluded with suppliers to inflate earnings.
The SEC claims that an accounting fraud involving allowances enabled Kmart to overstate its net income by $24m.
Investigators have been looking into Kmart’s management practices for more than two years.
Kmart, which emerged from bankruptcy protection last year, agreed a £6m merger with store operator Sears in November.
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements