Juniper backdating

Also, Sycamore Networks has been named in a lawsuit brought by a former employee, in which the former employee alleges that his employment contract was terminated because he complained about the company’s stock option practices.

In addition, the plaintiffs allege that the M-Systems officers and directors breached their fiduciary duty to M-Systems shareholders by backdating stock options and sought to further their own interests by approving the merger. Special thanks to Adam Savett of the Lies, Damned Lies blog for bringing this lawsuit to the attention of .

Alexander has already had to pay a m penalty, thanks to a 2010 settlement with the US Securities and Exchange Commission.A fairly common practice in the 2000s tech world, backdating allowed companies to reward executives with more lucrative stock options by claiming the options were issued at an earlier time, thus allowing the exec to buy at a lower price when the options vested.While the backdating can be legal if properly disclosed and documented, many companies illegally worked the tactic and ran afoul of the law.Alexander had been the CEO of Comverse Technology, a New York-based software developer that, with the backing of the Israeli government, offered both services for phone providers and surveillance tools for government and law enforcement agencies to record conversations.The company collapsed in 2006 when the stock options scandal broke, and Alexander himself went on the run.

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