Broadcom backdating options
“Judge Carney’s decision today has reaffirmed my belief and faith in the justice system,” he said in a statement.
Wayne Gross, a former federal prosecutor in Orange County who now does defense work, said that “between now and the February hearing,” the government is likely “to seriously consider waving the white flag” in Nicholas’s drug case.
New Mexico Obtains 0.5 Million Settlement In December 2009, New Mexico reached an agreement-in-principle with Broadcom and the individual defendants to resolve this matter for 0.5 million.
Richard Marmaro, Ruehle’s lawyer, defended Reyes and will represent him at a retrial, scheduled for February. Karatz, the former chairman and chief executive of KB Home who was accused in March 2009 of awarding himself and other KB executives millions of dollars in undisclosed stock-based compensation as part of an alleged options backdating scheme. “These cases push the outer edge of what is fraud,” said Henning, an expert in white-collar crime. If someone steals money, it isn’t hard to figure out the crime. Ruehle was accused of conspiring with other executives, including Nicholas, to hide backdating from stockholders and regulators.
On August 2, 2010, the court granted final approval of the settlement.
The deadline for filing a proof of claim form was August 13, 2010.
Broadcom was forced to reduce its earnings by .2 billion because of the backdating – the largest restatement of any company facing a federal investigation.
Broadcom President and Chief Executive Scott Mc Gregor said in a statement that Carney’s decision removes “an issue that, for some observers, may have partially obscured Broadcom’s tremendous business successes.” Broadcom conducted an internal investigation into the backdating, which faulted Nicholas, Ruehle and Tullos, who testified as a government witness in Ruehle’s trial. She had pleaded guilty to one count of obstruction of justice for ordering a subordinate to delete an e-mail about backdating.
Samueli had admitted lying to the Securities and Exchange Commission. The jury in his case was due to hear closing arguments on Thursday.