Fergie's Tech Blog

Ex-Computer Associates CEO Pleads Guilty

An AP newswire article by Tom Hays, via Yahoo! News, reports that:

Sanjay Kumar, the former CEO of Computer Associates International Inc., and another former executive pleaded guilty on Monday to obstruction of justice and securities fraud charges in a massive accounting scandal at the business software company.

Kumar and Stephen Richards, its former head of worldwide sales, had been accused in a 2004 indictment of engaged in a widespread scheme to falsely inflate the company's quarterly earnings by backdating contracts.

According to the indictment, Kumar was so involved with adding revenue to a financial quarter even after it closed that he flew to Paris in July 1999 to finalize a deal and personally signed a contract that had been backdated.

posted by Fergie @ 4/24/2006 03:33:00 PM