Feeds

HP escapes fine for boardroom spying scandal

Promises not to do it again

Intelligent flash storage arrays

HP has settled allegations over its failure to disclose why one of its directors resigned in the midst of last year's boardroom mole fiasco.

The computer giant has not been fined and said it neither admitted nor denied the Securities and Exchange Commission (SEC) findings, but has agreed to a cease and desist order, effectively barring it from breaching public reporting requirements.

Under the SEC ruling companies are required to issue a specific filing when directors quit their post due to objections over corporate practices.

But it took several months after Tom Perkins walked for HP to reveal that the veteran board member had disagreed with how the firm handled what he described as "the chair's improper and likely unlawful investigation" into leaks.

Shady tactics had been employed which included the use of "pretexting" to snoop on boardroom members, as well as hiring private investigators to trail journalists who had initially reported the leak.

Responding to the settlement with the SEC in an official statement released yesterday, HP's executive VP Michael Holston said: "HP acted in what it believed to be a proper manner. However, we understand and accept the SEC's views and are pleased to put this investigation behind us."

Director of the SEC's division of enforcement, Linda Chatman Thomsen, took a more sober view of the settlement and said: "This action highlights the importance of the required disclosures regarding corporate governance issues.

"The Federal securities laws exist to ensure transparency, and investors have a right to know when a dispute among board members over operations, policies, or practices causes a director to resign, as such a dispute may have far-reaching ramifications for the company." ®

Beginner's guide to SSL certificates

More from The Register

next story
The cloud that goes puff: Seagate Central home NAS woes
4TB of home storage is great, until you wake up to a dead device
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
You think the CLOUD's insecure? It's BETTER than UK.GOV's DATA CENTRES
We don't even know where some of them ARE – Maude
Intel offers ingenious piece of 10TB 3D NAND chippery
The race for next generation flash capacity now on
Want to STUFF Facebook with blatant ADVERTISING? Fine! But you must PAY
Pony up or push off, Zuck tells social marketeers
Oi, Europe! Tell US feds to GTFO of our servers, say Microsoft and pals
By writing a really angry letter about how it's harming our cloud business, ta
SAVE ME, NASA system builder, from my DEAD WORKSTATION
Anal-retentive hardware nerd in paws-on workstation crisis
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
The hidden costs of self-signed SSL certificates
Exploring the true TCO for self-signed SSL certificates, including a side-by-side comparison of a self-signed architecture versus working with a third-party SSL vendor.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.