Comverse Case Is First Backdating Probe to Target In-House Counsel

• Posted by Geoffrey G. Gussis on August 3rd, 2006


• Filed in Risk Management & Compliance

Justin Shenk of the Legal Recorder reports that the stock options backdating scandal is about to hit home with in-house counsel:

"San Francisco federal prosecutors may have struck first in the government’s crusade against stock options backdating, but it’s a case developing in the Brooklyn U.S. Attorney’s Office that will give the first glimpse into one of the most pressing questions: How does it affect the lawyers?

At some point this month — and probably within two weeks — the U.S. Attorney’s Office for the Eastern District of New York is expected to level criminal charges against former executives of Comverse Technology, said several people familiar with the investigation.

"The U.S. Attorney’s Office has been making noise that they are at the end of their rope," said Robert Morvillo, a New York white-collar specialist whose recent clients include Martha Stewart and AIG ex-CEO Hank Greenberg. He and Keith Krakaur, a partner at Skadden, Arps, Slate, Meagher & Flom, represent former Comverse CEO Kobi Alexander."

Link: Law.com - Comverse Case Is First Backdating Probe to Target In-House Counsel.