Feeds

ATI settles financial misconduct claims

Ontario Securities Commission handed large-ish cheque

  • alert
  • submit to reddit

High performance access to file storage

ATI has agreed to cough up CAD900,000 ($743,000) to the Ontario Securities Commission to settle allegations that it failed to disclose key financial performance information and made "misleading statements" to the Commission.

The payment, agreed at an OSC hearing in Toronto yesterday, will see ATI pay CAD400,000 to cover the costs incurred by the OSC during its five-year probe into the company and a further CAD500,000 in punitive damages.

"We are pleased to put the matter behind us," ATI said in a statement. The company also agreed to institute new procedures on trading shares and corporate governance.

The case goes back to April 2000, when the OSC began investigating claims that ATI had withheld from investors revelations of lower-than-expected revenue and earnings for Q3 FY2000. It was also alleged that a number of ATI executives profited from that failure to disclose by selling shares at a price above that which the shares would have commanded had ATI issued a profit warning for the quarter.

That alert did not come until 24 May 2000.

In January 2003, the OSC formally stated its allegations against ATI; company chairman Kwok Yuen Ho and his wife, Betty; the company's head of investor relations, Jo-Anne Chang, and her husband, David Stone; marketing admin manager Mary de la Torre and her husband, Alan Rae; and ATI general counsel Sally Daub. The named executives held their postions during the crucial period 1 September 1999 and 31 August 2000.

The OSC was also due to hear yesterday a proposed settlement with de la Torre and Rae. The outcome of the hearing has not yet been made public. Today, hearings will open to probe the allegations made against the remaining executives and their partners.

Daub, accused of lying to OSC investigators, reached a settlement with the Commission on 14 December 2004. She agreed to pay CAD5000 to cover costs. ®

Related stories

ATI posts 'strong' Q2 sales gains
ATI announces phone video chip
ATI paves way for sub-$50 graphics cards
ATI ships AGP-edition X850 XT graphics chip
ATI ships 'first' mobile AMD chipset
ATI buys cable modem chip biz for $14m

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Nokia offers 'voluntary retirement' to 6,000+ Indian employees
India's 'predictability and stability' cited as mobe-maker's tax payment deadline nears
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
Adrian Mole author Sue Townsend dies at 68
RIP Blighty's best-selling author of the 1980s
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Analysts: Bright future for smartphones, tablets, wearables
There's plenty of good money to be made if you stay out of the PC market
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.