NEW YORK — Martha Stewart was named Wednesday the nonexecutive chairman of the lifestyle, media, and merchandising company that she created.
Stewart rejoined the board of Martha Stewart Living Omnimedia Inc. in September at the end of a five-year ban on serving as a board member or as an executive of a public company as part a settlement with federal regulators related to insider trading.
As nonexecutive chairman, Stewart will help set the direction for the business but will have no direct operating role. An executive chairman would typically also hold a top management role such as being CEO.
‘‘I look forward to working closely with our directors and our management team as we focus on the future, capitalizing on the strength of our brand and our amazing customer connection,” Stewart said.
Stewart was convicted in 2004 of lying to prosecutors about selling ImClone shares a day before the Food and Drug Administration announced it declined to review an ImClone application for a cancer drug. She served five months in prison.
In 2006, the Securities Exchange Commission settled a civil case against Stewart. Stewart agreed to pay about $58,000 as well as a civil penalty of about three times the loss she avoided, or about $137,000. She also agreed to a five-year ban from serving on the board or as an officer of a public company.