Computer associates backdating

The former legal counsel for Mc Afee is facing federal charges of improperly backdating stock options at the security software company.Kent Roberts, 50, of Dallas, was indicted Tuesday by a federal grand jury on seven counts of fraud for improperly backdating options between 20, according to a statement from the U. Attorney's Office for the Northern District of California in San Francisco.Several executives of Computer Associates International, including former CEO Sanjay Kumar, pleaded guilty to providing fraudulent financial statements.The scheme was built around the backdating of sales contracts to affect the results of quarterly reporting. Refer to Exhibit 7.1, which describes the 2003 annual incentive compensation plan for top executives at Computer Associates International.A lawyer for the company, Robert Giuffra, said he could not comment.In trading yesterday, shares of Computer Associates rose 15 cents, to .68. Richards are those executives, people close to the investigation have said. Wang and a third executive shared a

The former legal counsel for Mc Afee is facing federal charges of improperly backdating stock options at the security software company.Kent Roberts, 50, of Dallas, was indicted Tuesday by a federal grand jury on seven counts of fraud for improperly backdating options between 20, according to a statement from the U. Attorney's Office for the Northern District of California in San Francisco.Several executives of Computer Associates International, including former CEO Sanjay Kumar, pleaded guilty to providing fraudulent financial statements.The scheme was built around the backdating of sales contracts to affect the results of quarterly reporting. Refer to Exhibit 7.1, which describes the 2003 annual incentive compensation plan for top executives at Computer Associates International.A lawyer for the company, Robert Giuffra, said he could not comment.In trading yesterday, shares of Computer Associates rose 15 cents, to $25.68. Richards are those executives, people close to the investigation have said. Wang and a third executive shared a $1.1 billion stock grant tied to the performance of Computer Associates' shares, one of the biggest bonuses ever for a company's executives. Woghin, Computer Associates and prosecutors have reached a settlement that will enable the company to avoid a corporationwide indictment that could seriously damage its business, people close to the case said yesterday.

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The former legal counsel for Mc Afee is facing federal charges of improperly backdating stock options at the security software company.

Kent Roberts, 50, of Dallas, was indicted Tuesday by a federal grand jury on seven counts of fraud for improperly backdating options between 20, according to a statement from the U. Attorney's Office for the Northern District of California in San Francisco.

Several executives of Computer Associates International, including former CEO Sanjay Kumar, pleaded guilty to providing fraudulent financial statements.

.1 billion stock grant tied to the performance of Computer Associates' shares, one of the biggest bonuses ever for a company's executives. Woghin, Computer Associates and prosecutors have reached a settlement that will enable the company to avoid a corporationwide indictment that could seriously damage its business, people close to the case said yesterday.

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“We are extraordinarily gratified that the judge has reduced the sentence, which will allow him to reunite with his family in Australia and try to put their lives back together again,” Zornow of Skadden, Arps, Slate, Meagher & Flom LLP in New York said.Steven Woghin, the former general counsel of Computer Associates, will plead guilty today in Federal District Court in Brooklyn to criminal charges stemming from a two-year investigation into the company's accounting practices, people close to the case said yesterday. Woghin is expected to clear the way for prosecutors to move against Sanjay Kumar, the company's former chief executive, and Stephen Richards, its former vice president for sales, who have been the focus of the federal investigation. The company and prosecutors have also reached a deal under which Computer Associates will temporarily accept an outside monitor and pay restitution to shareholders in return for the resolution of the investigation. Woghin would join several other former Computer Associates executives who have pleaded guilty this year to charges of obstruction of justice or securities fraud and have agreed to cooperate with prosecutors to avoid lengthy prison terms. In the earlier pleas, former executives depicted a wide-ranging conspiracy at the company to backdate contracts so that Computer Associates, the world's fourth-largest software company, would meet Wall Street's forecasts for profit. Computer Associates will also continue to cooperate with the government as it investigates Mr. If the monitor finds that Computer Associates has not kept its promises, prosecutors have the right to move forward with an indictment, these people said yesterday. Richards are expected to be indicted shortly, lawyers involved in the case said yesterday. said in a civil complaint that he had told another employee to respond "with half-truths and vague answers" to lawyers from Wachtell, Lipton, Rosen & Katz, the law firm hired by Computer Associates to investigate its accounting practices. In return, Computer Associates has agreed to pay more than 0 million in restitution to shareholders who lost money because of the fraud and to accept outside monitoring of its accounting practices for about two years, these people said.Roberts is charged with "devising a scheme to defraud by granting himself and others valuable in-the-money stock options while hiding the true nature and value of the stock option grants," the statement says. Roberts joins a small but growing list of executives or former executives of companies charged in the U. companies are under investigation by the SEC, federal prosecutors or through internal audits.Roberts hid the fraud from the company, then known as Network Associates Inc., its board, shareholders, auditors and the U. S with improperly backdating stock options grants to make them more profitable for the recipients, but at the expense of shareholders. According to the indictment, the Network Associates board granted Roberts the option to buy 20,000 shares of Network Associates' stock at the strike price of US.62, which was the price at which the stock closed on Feb. In late 2000, Roberts became concerned that his options were "underwater," that is, the US.62 exercise price of the grant was more than the market price for stock.

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