Former HP exec pleads guilty to stealing IBM trade secrets

Well, that didn't take long. Atul Malhotra, the HP executive charged with stealing printer market data when he left IBM and sending it to his new colleagues at HP with the genius-level subject line "For Your Eyes Only," has pled guilty to one count of theft of trade secrets. Malhotra probably made the right choice -- he specifically requested the information just before he left IBM and HP itself investigated and turned him in when he was found sending it around, so the case against him was pretty airtight. It's not clear what his plea deal is, but sentencing is scheduled for October 29, and he can get up to 10 years in the clink with a fine of up to a quarter-million dollars. Crime don't pay, kids.

[Ghen @ Jul 11th 2008 9:18PM]

especially if you aren't making any money off the deal. dummy.

[Tom G @ Jul 11th 2008 11:40PM]

Sad world where the time served for murder is shorter than time served for stealing business information.

[Wes @ Jul 12th 2008 3:51AM]

As an executive, the sad part is if he gets fired from Hewlett Packard or already has as a result of it, there's probably a severance package in his executive contract for over $250k. Soemtimes those can reach $3-5 million like Meg Whitman's for eBay.

HP: "That's it! Your fired!"
Exec: "Yesss, I can get my third Tesla Roadster and pay off that small goverment fine of up to $250k."

Sad part is, this guy isn't the dummy per say since his crime really has likely paid.

[OneLove @ Jul 12th 2008 3:01PM]

Microsoft would never have turned you in friend.

[Zorn @ Jul 11th 2008 9:31PM]

Cool

[Rod Munch @ Jul 11th 2008 9:34PM]

Thats good that he got caught, but 1/4 million dollars doesn't sound that much for the potential damage he could have done to IBM or profit he could have made himself. Good that HP turned him in themselves though.

[IPhoner @ Jul 11th 2008 10:12PM]

Notice how Apple never lets trade secrets get stolen... IBM should take a page from them!

[timmer @ Jul 11th 2008 10:20PM]

You're an idiot. did you even READ the damn article? The guy worked for IBM, got the SEKRETZ, quit and went to HP, then told people at HP.


...stupid apple fanboy.

[Adoniteking @ Jul 11th 2008 10:22PM]

i dont know about you but that GUI was such a neat idea...

Microsoft

[Joe @ Jul 12th 2008 8:13PM]

I have a vague recollection of a lawsuit a few years back about trade secrets and Apple.

[Jonathan-DBOSS @ Jul 11th 2008 10:16PM]

Uff, talk about a direct hit to your HP.

omg i di'int
yu-uh
nu-uh

dBoss iNc.

[Adoniteking @ Jul 11th 2008 10:29PM]

Damn!!!...well he can never scold his kids about stealing or cheating without hurting his pride anymore.

but seriously how could he get caught so easily....after working for so long with IBM, he still could T-H-I-N-K properly and forgot that his computer was personal again to hide the secrets :)

[Flashpoint @ Jul 11th 2008 10:31PM]

Its a good thing this happened when it did. Otherwise the Pacilion 7000 series would have bright red thumbpads between [g] and [h]

[Wormbolt @ Jul 11th 2008 10:59PM]

A similar thing happened with The Hamburglar.

[L8on @ Jul 12th 2008 12:52AM]

Maybe it's just me not understanding the way things are done or what these "secrets" are, but what exactly is "printer market data" and how can it be so devastating to IBM or helpful to HP? In my mind, I'm thinking its just how many of each model were sold in what areas... Can someone please help me understand better? Thanks!

[adam_lyons @ Jul 12th 2008 10:07AM]

Most likely it was info on top customers, what they were paying for equipment, etc. At the macro level the data would not be particularly useful, but if you could drill down to customer level data, it would allow HP to undercut IBM in the market.

[evo @ Jul 12th 2008 1:46AM]

The great thing for HP is that they got to keep the data (you think they didn't look before turning him in?) *and* pin the misdeed on some chump so they don't get sued.

If you just remember that corporations will always act in their own best interest, you'll be OK.

[Chris Macdonald @ Jul 12th 2008 7:26AM]

It's kinda funny how in the last article they call him VP and in this one they call him exec...