Feeds

British council prepares action on Dell

Wolves circles in insider dealing case

Security for virtualized datacentres

Californian lawyers have applied to bring a class action law suit against computer giant Dell with Wolverhampton City Council's pension fund as lead plaintiff.

Patrick Daniels of Lerach Coughlin law firm alleged on Channel4 News last night that Dell executives had conducted "one of the largest cases of insider trading in US history."

The programme said that the fund had alleged that between February 2003 and September 2005 Dell executives sold around 99 million shares they held in Dell for more than $3.3bn after artificially inflating the price. The firm is alleged to have improperly reported loyalty payments Intel made to Dell in exchange for the privilege of being its sole supplier of PC microprocessors.

Dell said it could not comment on "matters involving pending litigation".

Intel told the programme that there had been no wrondoing; "Significant portions of the allegations appear to be entirely made-up," it said.

The class action status had not yet been granted, but an application has been made. It was filed on behalf of the West Midlands Superannuation Fund, a pension fund with almost a quarter of a million members and assets of nearly £7bn, and which is administered by Wolverhampton Council.

The application alleged that all Dell's executives but founder Michael Dell sold between 70 and 100 per cent of their eligible shares during the period. Michael Dell sold only 27 per cent of his shares, but these were worth nearly $3bn.

Dell's share price slumped over this time from $40 to $20 dollars a share, said the programme. That left the pension fund, which had an investment in Dell, feeling short changed. But there might have been other reasons for the price slumping.®

Providing a secure and efficient Helpdesk

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.