Gregory Reyes, the former chief executive of Brocade Communications, was convicted of conspiracy and fraud in connection with back-dating stock options.
Shares of Brocade Communications Systems Inc. fell Tuesday after the company denied speculation that it's looking for a buyer. "That's just wrong. Why would we want to go ahead and do that when we have never been in a better position than we are today?" CEO Mike Klayko said in a corporate video on fourth quarter results. He said Brocade has taken the trouble to provide a full suite of products and services to compete with larger competitors and it's "winning." Shares of Brocade fell 71 cents... Read Full Story
Brocade Communications Systems Inc. (NASDAQ: BRCD)
Brocade Communications Systems Inc. (BRCD) develops and provides storage area network and data center networking equipment. The Company’s products include directors, switches, routers, fabric-based software, distance/extension products, management applications, utilities, host bus adapters and storage area network (SAN) switch modules, disaster recovery, data warehousing and data security.
Founded in 1995, the [...] Read Full Story
A federal appeals court has tossed out the criminal conviction of the first Silicon Valley executive to go to trial in a stock options scandal that triggered charges against at least a dozen executives. The 9th U.S. Circuit Court of Appeals ordered a new trial Tuesday for Gregory Reyes, former chief executive of Brocade Communications Systems Inc., citing prosecutor misconduct. The court says a prosecutor lied when he told the jury that Brocade's finance department was unaware that Reyes was... Read Full Story
The San Francisco federal jury found Mr Reyes, 44, guilty on all 10 counts after a six week trial. “It sends a message that perhaps some of this stuff is really bad. It’s not just technical,” said Henry Hu, a University of Texas law professor. “It increases the bargaining power of the SEC and the justice department.” Ugly.... Read Full Story
Brocade Communications Systems former personnel director did not conspire to backdate employee stock-option awards, the company’s former CEO said in an unsealed court document that goes against a jury’s findings in the case.
Stephanie Jensen, Brocade’s former vice president of human resources, “never participated in a scheme to defraud Brocade, its board, its shareholders, its auditors, the public” or the U.S. Securities and Exchange Commission, former Brocade Chief Executive Gregory Reyes... Read Full Story
Update on the stock-options backdating scandal : One executive is definitely going to prison, another may be headed there (subject to appeal), and the snare seems to be closing around the founders of a big chip maker. Carole Argo, the former president, COO, and CFO of SafeNet , has pleaded guilty to securities fraud and was recently sentenced to six months in prison and fined $1 million. In her plea, Argo admitted to backdating millions of dollars’ worth of employee stock-option grants... Read Full Story
US District Judge Charles Breyer yesterday sentenced Stephanie Jensen to four months in a federal prison, plus three months to be served in a halfway house, for her conviction on stock option backdating-related charges. Judge Breyer also fined her $1.25 million . Jensen, the former VP of human resources at Brocade Communications Systems , remains free while she appeals her conviction on two felony charges of falsifying corporate records . Judge Breyer has similarly allowed her former boss at... Read Full Story
Wikizines are interactive magazines that anyone can create or edit - and this one is called "Gregory Reyes". Here you can find fresh voices and respond in real time. Some members write articles about recent news and trends related to the wikizine's topic, others recount relevant personal stories or share their favorite pictures and video clips. Got an interesting idea or story to share with other members of this wikizine? Well, then put on your journalist's cap and add your own article... Read Full Story
