Family dollar stock option backdating datingcatch com
Take-Two Interactive Software reached a million settlement agreement with the U. Securities and Exchange Commission, relating to charges that the game publisher engaged in falsifying financial records as part of a A settlement agreement had largely been expected, after Take-Two announced two years ago that it had received a notice from the SEC's staff that it would recommend that charges be filed against the company. Take-Two agreed to the settlement without admitting to or denying the SEC's allegations, the SEC said.
The agreement is also subject to approval by the U. District Court for the Southern District of New York.
(To learn more, see .) Cost to Shareholders The biggest problem for most public companies will be the bad press they receive after an accusation (of backdating) is levied, and the resulting drop in investor confidence.
While not quantifiable in terms of dollars and cents, in some cases, the damage to the company's reputation could be irreparable.
The case centered on allegations that Take-Two backdated stock options for its officers, directors, and key employees that could be exercised at a strike price lower than where the stock was trading on the date the options were granted.
The SEC alleged that Take-Two defrauded investors by failing to properly record the stock option compensation grant date and strike price.
Jacob "Kobi'' Alexander, the former chief executive of Comverse Technology Inc., waiting for proceedings to begin in the magistrates court in Windhoek, Namibia, on July 9, 2007.
Photo Credit: Bloomberg News / Naashon Zalk Jacob “Kobi” Alexander, the former chief executive of a Long Island-based technology company who fled the United States after he was charged with masterminding a multimillion-dollar stock option fraud, is expected to face justice after 10 years in Namibia.
Comverse’s general counsel, William Sorin, was sentenced to a year and a day in prison, and he agreed to pay million in a settlement with the Securities and Exchange Commission.Comverse was “probably one of the more egregious” offenders among companies accused of backdating stock options, Sutherland said.The practice could be compared with “gambling on last week’s races,” said John C.Another potential ticking time bomb, is that many of the companies that are caught bending the rules will probably be required to restate their historical financials to reflect the costs associated with previous options grants. In others, the costs may be in the tens or even hundreds of millions of dollars.In a worst-case scenario, bad press and restatements may be the least of a company's worries.