Apple has been cleared
by Claudia Sonea
Apple Inc is famous for designing and manufacturing consumer electronics and related software. The most popular products are the Macintosh computers, the iPod and the iPhone which just launched a new version. Well, nothing new or surprising until now, but how many of you knew that the U.S. Securities and Exchange Commission was investigating the company for stock option backdating?
Everything started on 29 June 2006 when Apple announced an internal investigation meant to establish whether members of the management team were involved in stock option backdating, but it concluded no member was guilty of misconduct and Steve Jobs, Apple's CEO and co-founder, was cleared of any suspicion. Yet, SEC filled charges against former Apple chief financial officer Fred D. Anderson and former Apple general counsel Nancy R. Heinen for their parts in the backdating based on the testimony of former Apple lawyer, Wendy Howell who said she was asked by the defendants to falsify an inexistent meeting of Apple's board of directors.
Apple's honor suffered tremendous, but fortunately for them the U.S. Justice Department found no incriminating evidence and decided to give up charges. Apple did not comment on the matter that made its name to enter among the 200 mostly high-tech companies investigated for stock options backdating. The Wall Street Journal was the first one in presenting the decision of the Department of Justice.
I am glad that Apple was cleared and that everything is back to normal, although there are still unsolved issues like the fact that the special committee organized by Apple in 2006 found some irregularities that have not been investigated. The mystery that puzzles me, however, is why Howell wasn't accused of false testimony.
related story: http://news.yahoo.com/s/ap/20080710/ap_on_bi_ge/retail_sales;_ylt=Amkl_yrHhGeSt22qC3VrTECs0NUE
| by Claudia Sonea for PocketNews (http://pocketnews.tv) |
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