Bristol-Myers Squibb, one of the world's largest pharmaceutical companies, is being investigated by the SEC for allegedly inflating sales by $1 billion last year, according to the Financial Times.
Bristol-Myers met with US financial regulators to discuss sales to drug wholesalers that boosted inventories, the paper reported.
The report added there was no suggestion at this point that the company had acted improperly or there had been a deliberate attempt to inflate sales figures.
A Bristol-Myers spokeswoman declined to comment on the Financial Timesreport.
The investigation is the latest to be launched by the SEC as it widens its assault on the financial practices of corporate America.
The SEC, the White House, Congress and business leaders are all attempting to restore investor confidence in the US financial statements following a series of scandals at companies such as Enron and WorldCom. The SEC would not comment on its inquiry into Bristol.