No legal action is recommended against publisher THQ, following an investigation by the United States Securities and Exchange Commission into some of their stock option practices. The investigation began back in August 2006, when the SEC requested all documents and materials pertaining to the practices, dating back to 1996. THQ was already in the process of conducting a voluntary internal review, and says that their independent investigation, which concluded January 2007, showed no evidence of fraud or misconduct. THQ was just one of 60 companies being investigated, including Activision and Take-Two.
SEC chooses not to recommend action against THQ [Gameindustry.biz]
The Securities and Exchange Commission is thinking of filing charges against Take-Two Interactive in connection to the company’s stock option practices. The former CEO and chairman of Take-Two pled guilty in February to “first-degree falsification of business records” for backdating stock options in an illegal manner and was ordered to pay a restitution of $US7.2 million; in July, two more senior executives pleaded guilty in connection with the same stock options shenanigans. Take-Two received a “Wells” call from the SEC’s enforcement division, notifying them the division will be asking the Commission to file charges. Whoops: More »
