Feeds

HP VP charged for trying to pass on IBM trade secrets

'For Your Eyes Only'

The Power of One Infographic

A former Hewlett-Packard vice president has been charged by US federal prosecutors for allegedly attempting to pass trade secrets from his previous employer, IBM Corp, to senior HP execs.

According to a US District Court indictment filed last Friday in San Jose, California, Atul Malhotra obtained “confidential” pricing details in March 2006.

Prosecutors said in the document that Malhotra was the director of IBM global printer sales between 1997 and 2006.

Just two months before he moved to HP, he “requested and received” a confidential memo named IBM Global Services, CC Calibration Metrics. Malhotra was instructed by a pricing coordinator for Armonk, New York-based IBM not to “distribute” the material due to the “sensitive nature” of the memo.

Malhotra joined HP as vice president in May 2006. Court records claim that he emailed the IBM document to an unnamed HP senior veep on or around 25 July 2006 with the subject line “For Your Eyes Only – confidential”. Two days later he sent the same email to another unidentified HP exec.

He has been charged by US federal prosecutors with “intent to convert a trade secret to the economic benefit of someone other than the owner [IBM]”.

Palo Alto-based HP said it took swift action against Malhotra's alleged trade secret misconduct.

"The activity with which Malhotra is charged was in direct violation of clear HP policies, including HP’s standards of business conduct," said the company in a statement.

"HP detected this activity, conducted an internal investigation, terminated Malhotra from his employment, and self-reported the activity to all appropriate enforcement agencies and to IBM. HP has cooperated fully with the government’s investigation."

Charging doc (courtesy of Wired). ®

The Power of One Brief: Top reasons to choose HP BladeSystem

More from The Register

next story
Sit back down, Julian Assange™, you're not going anywhere just yet
Swedish court refuses to withdraw arrest warrant
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
MPs wave through Blighty's 'EMERGENCY' surveillance laws
Only 49 politcos voted against DRIP bill
EU's top data cops to meet Google, Microsoft et al over 'right to be forgotten'
Plan to hammer out 'coherent' guidelines. Good luck chaps!
Delaware pair nabbed for getting saucy atop Mexican eatery
Burrito meets soft taco in alleged rooftop romp outrage
British cops cuff 660 suspected paedophiles
Arrests people allegedly accessing child abuse images online
LightSquared backer sues FCC over spectrum shindy
Why, we might as well have been buying AIR
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Mobile application security vulnerability report
The alarming realities regarding the sheer number of applications vulnerable to attack, and the most common and easily addressable vulnerability errors.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.