What I expect is for the SEC to give the CEO a chance to pay a huge fine, or give back the profits he made on the stock he dumped in some multiple. Forbid him to ever sell shares or take public his wonderful silver mining company. So the CEO will still exist, with no mug shots. Our hero has successfully stood up to the evil SEC!
I doubt it'll play out that way. The only case in which it might is if KMAG really does have a thriving business. But if it doesn't, chances are the SEC will eventually bring suit, and Reid will get disgorgement, fines, and a penny stock ban.
They all--well, the ones who bother to comment--say they plan to file their delinquent financials. Not very many actually make the effort.