Apple Clears Steve Jobs in Stocks Probe
Friday, December 29, 2006 by Island Dog | Discussion: WinCustomize News
Apple has restated their financial results for the last three years, and would take a charge of $84 million. An internal investigation has found that while Steve Jobs was aware of the irregularities, he did not benefit financially from them.
"The investigators found that Apple made a number of stock grants where the grant dates were intentionally selected to obtain favorable exercise prices. They reported serious concerns over the way that two former officers, whom Apple did not name, accounted for stock option grants.
Jobs appeared to have been exonerated by the investigation, however. "The board of directors ... has complete confidence in Steve Jobs and the senior management team," Apple said in its statement. "
Read more at the article below.
Reply #2 Friday, December 29, 2006 11:25 PM
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Reply #1 Friday, December 29, 2006 8:09 PM
Jobs was handed 7.5 million of stock options in 2001 without required authorization from the company's board of directors. The options were backdated to ensure a favorable price. Later, the company would falsify records to show that the appropriate meeting had taken place.
As far as I know, the SEC continues to investigate. Quoting from the PC World article that you link to "Apple warned that the investigation and related legal and other services could weigh down its business in the future. It also warned that the situation has exposed the company to litigation risks, including one lawsuit filed in August. That case, in the U.S. District Court for the Northern District of California, alleges improper backdating of stock option grants."