Two former executives of Apple . may face legal action mechanism this week by the U.S. Securities and Exchange Commission for their function in the inventory option backdate scandal at the data processor ship’s company , theSan Jose Mercury Newsreported Monday .
Nancy Heinen , former universal direction , and Fred Anderson , former chief financial ship’s officer for Apple , may be sued for violating SEC regulations over the backdating of options awarded to Apple executives , including CEO Steve Jobs , in 2000 and 2001 , the newspaper publisher reported .
In one example , Heinen allegedly signed off on dining table minutes indicate the directors met in October 2001 to approve an award of 7.5 million stock options to Jobs , even though the selection were n’t actually granted until December 2001 . In fact , the October encounter never occurred and was fabricated in documents so Jobs could get the option when Apple ’s stock price was lower , give him a larger profit , an national audit at Apple found .
In another incident , Heinen and Anderson also approved backdate stock options for other executives , include themselves , in early 2001 , according to theMercury News . The options were finalized on Jan. 31 but the grant day of the month was set back to Jan. 17 , again , when the price was lower .
Heinen ’s lawyers could not be contact for input but told theMercury Newstheir client was being made the scapegoat and that she was just comply orders . Heinen left Applein May 2006 just as the company launched its own internal board investigation of backdate allegement . The theme , relinquish in December of last yr , said there were some irregularities , but that Jobs was not aware of the accounting implications of O.K. the backdating .
lawyer for Anderson could not be contact for remark nor could Mark Fagel , the chief of enforcement in San Francisco for the SEC . The U.S. Attorney ’s Office in San Francisco , which has been enquire possible reprehensible charges in the Apple case , refuse to point out .
Backdating descent alternative Duncan James Corrow Grant dates is n’t illegal by itself , but the grants must be decent report for and disclosed to shareowner .
