Settle sec mercury backdating

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In essence, the complaint alleges that the directors simply went along with management.

To settle the action, each defendant consented to the entry of a permanent injunction prohibiting future violations of the antifraud, proxy and reporting provisions of the federal securities laws.

KLA-Tencor was among the companies mentioned in a front-page May 22, 2006 article entitled "Five More Companies Show Questionable Options Pattern" (here).

The article described how the company’s executives received stock option grants in 2001 on "unusually fortunate days." The article also said that the data the Journal reviewed suggested a "highly improbable pattern of option grants." The company’s shares dropped over ten percent on the news, representing a drop in market capitalization of 5 million.

Option backdating cases have been a focus of enforcement in recent years. Jewels, former Director of Financial Operations Cheryl E. Between October 1999 and July 2002 defendants repeatedly backdated option grants, providing themselves and employees with options with prices at which they could purchase shares which were lower than the market price at the time the options actually were granted. 15, 2008) is another example of a settled options backdating case.

Essentially, they involve fraudulently backdating stock option grants so that they are in the money and then not recording the related expenses of those options properly in financial statements. To conceal these practices, grant documents were falsified. This action was brought against the former chairman and CEO of KB Home, Inc. Karatz engaged in a multi-year scheme to backdate stock options for himself and others at the company. Karatz used hindsight to pick advantageous grant dates according to the complaint. Karatz receiving a total of 2,860,000 shares of KB Home stock which yielded million when exercised. Karatz consented to the entry of a permanent injunction prohibiting future violations of the antifraud, reporting and proxy provisions of the federal securities laws.

The court held that the request by the SEC for a penalty is time barred, but permitted repleading to demonstrate equitable tolling. Berry signing KLA’s two Form S-8.” In many of the option backdating cases, the issuer cooperates with the SEC in an effort to earn “cooperation credit” in the charging decision. .” The company was able to settle the action by consenting to the entry of a permanent injunction prohibiting future violations of the reporting provisions, but without a fraud charge. The company was not charged with fraud and a penalty was not imposed. As part of the scheme, grants were backdated to the low closing price for the company’s stock. Tullos communicated the grant dates within the company, provided spreadsheets of stock option allocations for the backdated grants to the finance and shareholder services departments knowing that they would use the information to prepare Broadcom’s books and records and periodic SEC filings. She also agreed to the entry of an order requiring her to pay over

In essence, the complaint alleges that the directors simply went along with management.To settle the action, each defendant consented to the entry of a permanent injunction prohibiting future violations of the antifraud, proxy and reporting provisions of the federal securities laws.KLA-Tencor was among the companies mentioned in a front-page May 22, 2006 article entitled "Five More Companies Show Questionable Options Pattern" (here).The article described how the company’s executives received stock option grants in 2001 on "unusually fortunate days." The article also said that the data the Journal reviewed suggested a "highly improbable pattern of option grants." The company’s shares dropped over ten percent on the news, representing a drop in market capitalization of $935 million.Option backdating cases have been a focus of enforcement in recent years. Jewels, former Director of Financial Operations Cheryl E. Between October 1999 and July 2002 defendants repeatedly backdated option grants, providing themselves and employees with options with prices at which they could purchase shares which were lower than the market price at the time the options actually were granted. 15, 2008) is another example of a settled options backdating case.Essentially, they involve fraudulently backdating stock option grants so that they are in the money and then not recording the related expenses of those options properly in financial statements. To conceal these practices, grant documents were falsified. This action was brought against the former chairman and CEO of KB Home, Inc. Karatz engaged in a multi-year scheme to backdate stock options for himself and others at the company. Karatz used hindsight to pick advantageous grant dates according to the complaint. Karatz receiving a total of 2,860,000 shares of KB Home stock which yielded $6 million when exercised. Karatz consented to the entry of a permanent injunction prohibiting future violations of the antifraud, reporting and proxy provisions of the federal securities laws.

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In essence, the complaint alleges that the directors simply went along with management.

To settle the action, each defendant consented to the entry of a permanent injunction prohibiting future violations of the antifraud, proxy and reporting provisions of the federal securities laws.

KLA-Tencor was among the companies mentioned in a front-page May 22, 2006 article entitled "Five More Companies Show Questionable Options Pattern" (here).

The article described how the company’s executives received stock option grants in 2001 on "unusually fortunate days." The article also said that the data the Journal reviewed suggested a "highly improbable pattern of option grants." The company’s shares dropped over ten percent on the news, representing a drop in market capitalization of $935 million.

Option backdating cases have been a focus of enforcement in recent years. Jewels, former Director of Financial Operations Cheryl E. Between October 1999 and July 2002 defendants repeatedly backdated option grants, providing themselves and employees with options with prices at which they could purchase shares which were lower than the market price at the time the options actually were granted. 15, 2008) is another example of a settled options backdating case.

Essentially, they involve fraudulently backdating stock option grants so that they are in the money and then not recording the related expenses of those options properly in financial statements. To conceal these practices, grant documents were falsified. This action was brought against the former chairman and CEO of KB Home, Inc. Karatz engaged in a multi-year scheme to backdate stock options for himself and others at the company. Karatz used hindsight to pick advantageous grant dates according to the complaint. Karatz receiving a total of 2,860,000 shares of KB Home stock which yielded $6 million when exercised. Karatz consented to the entry of a permanent injunction prohibiting future violations of the antifraud, reporting and proxy provisions of the federal securities laws.

The court held that the request by the SEC for a penalty is time barred, but permitted repleading to demonstrate equitable tolling. Berry signing KLA’s two Form S-8.” In many of the option backdating cases, the issuer cooperates with the SEC in an effort to earn “cooperation credit” in the charging decision. .” The company was able to settle the action by consenting to the entry of a permanent injunction prohibiting future violations of the reporting provisions, but without a fraud charge. The company was not charged with fraud and a penalty was not imposed. As part of the scheme, grants were backdated to the low closing price for the company’s stock. Tullos communicated the grant dates within the company, provided spreadsheets of stock option allocations for the backdated grants to the finance and shareholder services departments knowing that they would use the information to prepare Broadcom’s books and records and periodic SEC filings. She also agreed to the entry of an order requiring her to pay over $1.3 million in disgorgement and prejudgment interest to be offset by the value of her exercisable stock options which were cancelled and to pay a civil penalty of $100,000.

.3 million in disgorgement and prejudgment interest to be offset by the value of her exercisable stock options which were cancelled and to pay a civil penalty of 0,000.

In two instances, the three directors executed approvals that were backdated for employees and, a short time later, again executed a consent for backdated options for the same employees, but with different “as of” dates to take advantage of a share price drop. INITIAL_PROPS_HEADER = {"data":,"id":"wsj/header","context":{"article Id":"SB114265075068802118","author":"Charles Forelle and James Bandler","breakpoint":"lg","corp Hat":[,],"customer Nav":{"user":null,"ads":,"urls":{"login Url":"https://com/login?target=https://com/articles/SB114265075068802118","logout Url":"https://com/logout? Mercury had already agreed to pay another million to settle civil fraud charges related to the backdating that were filed by the Securities and Exchange Commission, the Wall Street Journal reports (sub. The agency has also filed civil charges against four former Mercury executives, including former general counsel Susan Skaer. In its January 24, 2008 quarterly earnings release (here), KLA-Tencor also announced that it had entered into an agreement to settle the options backdating-related securities class action lawsuit that had been pending against the company and certain of its directors and officers for million.

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