Backdating investigation

Posted by / 21-Jul-2017 13:01

Backdating investigation

Or was it simply a coincidence, driven by Silicon Valley’s zeal for stock options before the dotcom bust?In the case of two Golden State tech companies, the concept of granting undisclosed, “in the money” stock options to executives could have originated with their general counsel, according to the Securities and Exchange Commission.Interestingly, Wo Sign issued a media release in China (you'll need Google Translate for this link) at the beginning of last week, announcing it completed its equity investment in Start Com on September 19.Since the backdating scandal began unfolding nearly two years ago, regulators and outsiders have been wondering why so many public companies — many of them in the technology industry — began issuing undisclosed, misdated stock options grants around the same time.She also allegedly created minutes of compensation committee meetings that had not occurred in order to justify misdated option grants.Her alleged scheme resulted in more than 0 million in expenses not being disclosed by Juniper, according to the SEC.“Lisa had no responsibility for accounting at either company, had no idea that either company violated options accounting, and did not personally benefit from misdated option grants at either company.” Both KLA and Juniper have settled related charges with the SEC without admitting or denying guilt.However, both have restated their financials to correct how they had accounted for stock options: KLA took a 0 million non-cash expense for more than a decade’s worth of financial results, and Juniper took a 0 million non-cash charge for options granted between mid-1999 and the end of 2003.

The number of companies associated with the controversy spread as more revealed they were conducting internal investigations or that they had received inquiries from the Department of Justice and SEC about their stock option granting practices.SHA-1 has been regarded as insecure for years and is therefore being deprecated by all major browsers.As part of its deprecation process, Mozilla treats new SHA-1 certs as invalid unless the issuing CA completes an approval process – and the report says both Wo Sign and Start Com fudged the process by backdating new SHA-1s to make it seem they were issued before the January 1, 2016 ban.Berry’s attorney, Melinda Haag of Orrick, Herrington & Sutcliffe, disputes the commission’s findings.“This case is unfounded, and the SEC’s allegations don’t make it otherwise,” she told

backdating investigation-75backdating investigation-4backdating investigation-57

She “devised the improper backdating scheme while serving as general counsel of KLA and then implemented similar practices after assuming the position of general counsel for Juniper,” the SEC said in its complaint filed with the U. “That certainly raised our eyebrows.” While at KLA, a San Jose semiconductor equipment company, Berry “routinely” used hindsight to pick dates when the company had had historically low stock prices and chose the corresponding prices for option grants given to KLA employees, the SEC alleges.

One thought on “backdating investigation”