Hewlett-Packard Settles With SEC
By Therese Poletti, San Jose Mercury News, Calif.
SJ-0523-Hewlett-Packard-settles-with-SEC
Hewlett-Packard settles with SEC
Therese Poletti San Jose Mercury News, Calif.
May 23–Hewlett-Packard said it settled an investigation by the Securities and Exchange Commission over how the computer and printer giant disclosed the resignation of director Tom Perkins from its board in May 2006.
The SEC concluded in its order that HP should not have limited its disclosure to the fact that Perkins had resigned and that it should have reported that Perkins resigned because of a disagreement with HP’s operations, policies or practices. The SEC said that the company should have provided a brief description of the circumstances around the disagreement.
The SEC imposed no monetary or other penalty in connection with the settlement.
Perkins resigned from HP’s board over a dispute over how then-chairman Patricia Dunn was conducting an internal investigation into boardroom leaks to the press. In September 2006, HP disclosed in an SEC filing more details on Perkins’ resignation, throwing the lid off the HP spying scandal.
The Palo Alto company said it agreed, without admitting or denying the SEC’s findings, to a cease and desist order in which it will no longer commit or cause any violations of the public reporting requirements of the Securities and Exchange Act of 1934.
“HP acted in what it believed to be a proper manner,” said Michael Holston, executivevice president and general counsel, at HP, in a statement. “However, we understand and accept the SEC’s views and are pleased to put this investigation behind us.”
Contact Therese Poletti at tpoletti@mercurynews.com or (415) 477-2510.
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