Feeds

Larry Ellison hands back $575m from Oracle's Pillar slurp

CEO settles case over alleged conflict of interest

The essential guide to IT transformation

Oracle chief exec Larry Ellison has agreed to waive a potential payout of $575m to clear up accusations of a conflict of interest over Oracle's acquisition of Pillar Data Systems, a company Ellison owned.

Ellison agreed to hand back over 95 per cent of an "earn-out" payday he got when Oracle slurped Pillar in 2011, after two pension funds claimed in court that the company's directors had used its funds to bail Ellison out of a "horrible investment" in Pillar.

They accused Oracle of violating its duties to shareholders by buying the data storage firm, according to court documents seen by Bloomberg and Reuters.

Ellison owned 55 per cent of Pillar and was due to be paid for his share of the firm in an agreement based on Pillar's performance over the next three years. Oracle argued that the deal was structured like this specifically to ensure that Ellison didn't benefit improperly from the acquisition.

But the company said it had decided to settle out of court "after weighing the costs and uncertainties of continued litigation against the benefits of the settlement".

The settlement comes just a day after the company was forced to defend Ellison's pay cheque at Oracle against criticism from CtW Investment Group, which represents pension funds. ®

Next gen security for virtualised datacentres

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Call of Duty daddy considers launching own movie studio
Activision Blizzard might like quality control of a CoD film
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
prev story

Whitepapers

A new approach to endpoint data protection
What is the best way to ensure comprehensive visibility, management, and control of information on both company-owned and employee-owned devices?
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.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.
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.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.