Feeds

Steve Jobs: 'I wanted respect, not backdated options'

SEC deposition outed

Secure remote control for conventional and virtual desktops

Steve Jobs says he just wanted to feel appreciated when he asked Apple's board of directors for some additional stock options back in 2001 — but then things got all probey with US regulators.

Forbes has managed to get its mitts on the Apple CEO's deposition with the US Securities and Exchange Commission conducted in the wake of Apple's backdating scandal.

Jobs has always maintained he was unaware of the accounting fraud involved with improper backdating of his options, and no government legal action was taken against the CEO and Apple. But the resulting investigation saw Apple's former financial chief Fred Anderson and ex-general counsel Nancy Heinen forced to settle with the SEC for a few million dollars apiece without admitting wrongdoing. There were also several derivative lawsuits filed by shareholders which Apple settled out of court for $14m.

In the deposition, Jobs told SEC lawyers during a March 2008 interview that he initially approached Apple's board of directors in 2001 about a stock option grant out of perceived lack of respect.

"It wasn't so much about the money," Forbes reports Jobs told the SEC. "Everybody likes to be recognized by his peers...I felt that the board was really doing the same with me."

Apple's chief-of-chiefs has only been paid a token $1 per year salary since his return to the company. Combined with the eroded value of his stock options in the dot-com bust, Jobs said he wasn't feeling properly compensated for his work. He was also feeling pretty stung that Apple's board never approached him with a stock option reward without his prompting.

The SEC claimed Heinen fraudulently cooked up options grants by misrepresenting the true dates the grants were awarded to times when the price was at a historic low.

Backdating itself isn't illegal, but not telling the SEC or stockholders about it is considered securities fraud.

Heinen has denied the SEC's accusations — and Anderson, who was essentially charged for being asleep at the wheel while the backdating occurred, has claimed Jobs was informed about the implications of backdating.

According to the SEC interview, Jobs claimed he doesn't know much about accounting or backdating shenanigans and didn't know the practice was illegal. Jobs' options were also subsequently canceled when the fraud was brought to light and resulted in no financial gain to the oh-so-neglected CEO. ®

Boost IT visibility and business value

More from The Register

next story
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Premier League wants to PURGE ALL FOOTIE GIFs from social media
Not paying Murdoch? You're gonna get a right LEGALLING - thanks to automated software
Online tat bazaar eBay coughs to YET ANOTHER outage
Web-based flea market struck dumb by size and scale of fail
Amazon takes swipe at PayPal, Square with card reader for mobes
Etailer plans to undercut rivals with low transaction fee offer
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
XBOX One will learn to play media from USB and DLNA sources
Hang on? Aren't those file formats you hardly ever see outside torrents?
Class war! Wikipedia's workers revolt again
Bourgeois paper-shufflers have 'suspended democracy', sniff unpaid proles
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
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.