Feeds

HP escapes fine for boardroom spying scandal

Promises not to do it again

Security for virtualized datacentres

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." ®

Internet Security Threat Report 2014

More from The Register

next story
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
The DRUGSTORES DON'T WORK, CVS makes IT WORSE ... for Apple Pay
Goog Wallet apparently also spurned in NFC lockdown
Desktop Linux users beware: the boss thinks you need to be managed
VMware reveals VDI for Linux desktops plan, plus China lab to do the development
IBM, backing away from hardware? NEVER!
Don't be so sure, so-surers
Hey - who wants 4.8 TERABYTES almost AS FAST AS MEMORY?
China's Memblaze says they've got it in PCIe. Yow
Microsoft brings the CLOUD that GOES ON FOREVER
Sky's the limit with unrestricted space in the cloud
This time it's SO REAL: Overcoming the open-source orgasm myth with TODO
If the web giants need it to work, hey, maybe it'll work
'ANYTHING BUT STABLE' Netflix suffers BIG Europe-wide outage
Friday night LIVE? Nope. The only thing streaming are tears down my face
Google roolz! Nest buys Revolv, KILLS new sales of home hub
Take my temperature, I'm feeling a little bit dizzy
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.
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.
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.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Protecting against web application threats using SSL
SSL encryption can protect server‐to‐server communications, client devices, cloud resources, and other endpoints in order to help prevent the risk of data loss and losing customer trust.