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iPod iNsider trading?
Nine bigwigs at Taiwan's Inventec Appliances could be headed to jail over allegations of insider trading-- the executives allegedly failed to report lowered order numbers by Apple before dropping off $22.4 million worth of stock on the Taiwan Stock Exchange. Apparently, Apple decided to send more of its iPod order to China, and the executives reportedly knew in mid-January that the decision had been made to do so. But they didn't reveal the troubles until mid-March, at which point IA's stock tumbled, and the execs had already reportedly unloaded their stock.In other executives and stock news, Jobsy picked up a few Apple shares this week-- 120,000 for $5.75 a piece. The stock price has actually been dropping since around August 1st, but considering the price is right around $117 right now, Steve is sitting pretty-- it's good to be the king. Apple says Jobs isn't selling at this time, though. Obviously-- he's got to wait until the ultraportable shows up, right?[via MacBytes]
Bach sold even more stock before warranty announcement
Last month it was discovered that Robbie Bach, the head of Microsoft's Entertainment and Devices Unit (which includes Xbox), sold $6.2 million in company stock in the months leading up to the warranty extension announcement -- turns out, it was even more than originally reported. Bach actually sold another $3 million more in stock, which weren't filed with the Securities and Exchange Commission. Microsoft says that the extra few million weren't filed "as the result of an administrative error."Microsoft is still sticking by their story that the stock sales by Bach were purely coincidental in regards to the warranty announcement. Given that the stock price barely took a hit, one could see that as possible. Then again, Martha Stewart went to jail for issues surrounding insider dealing, even though the stock she sold eventually rebounded. Who knows what the truth is, all we want to know is what did Bach spend the $10 million on -- a PS3 or two?[Via GamePolitics]
Xbox 360 exec Robbie Bach's personal red ring of death: insider sales?
Robbie Bach, Microsoft's executive in charge of the Xbox game console, raised a few eyebrows recently when he sold millions in Microsoft stock just prior to going public with Xbox 360 woes. In a review of SEC filings, Robbie sold some $6.2 million worth of company stock between May 2 and Microsoft's July 5th announcement of charges exceeding $1 billion for Xbox 360 repairs. It is of course perfectly normal for high-ranking corporate execs to turn over company stock. However, this is typically done according to a schedule in order to deflect concerns over insider trading -- Bach's trades followed 8 months of zero sales. Microsoft's stock did not make a significant move after the announcement which, in legal hindsight, has led some insider watchdogs to give Robbie the benefit of the doubt. We'll see if the SEC is so forgiving.
BenQ demotes CEO after refusing his resignation in March
As if you needed any more proof that BenQ is in heap big trouble, the latest mini-episode in this tragic soap opera has landed K.Y. Lee out of his spot as CEO over BenQ Corp, AU Optronics and the newly formed Qisda. He's sticking around as chairman -- and to catch the heat for the ongoing financial troubles and insider trading scandal -- but he's being "reshuffled" out of the top job at the company, which he tried to ditch in March when things were really looking rough. The insider stock trading case is set to hit the courts in the next few weeks, and while BenQ is still denying any wrongdoing on the part of its executives, things aren't really looking up for K.Y. Lee and his executive buddies... no matter how much restructuring they do.
iPod manufacturer gets questioned on insider trading
You'd think that by now, all these high-falutin' execs would have figured out that illegally manipulating one's stock price probably isn't the best approach to garner public attention, but now we've got yet another company under scrutiny for insider trading allegations. Inventec, who plays a major role in the manufacturing of Apple's iPod, was raided yesterday as Banciao prosecutors began "looking for evidence to support charges of alleged insider trading." Apparently, officials have "reliable information that upper management manipulated the company's stock price," and after the initial sweep was completed, a whopping 22 individuals were captured for questioning. Of course, spokespersons for the firm are adamant that the probe won't effect operations, but considering that a faithful janitor could be running the supply chain in the interim, you never know what mayhem could ensue.[Via Inquirer]
BenQ's chairman and president charged in Taiwan, out on bail
It doesn't look like the BenQ saga is showing any signs of letting up anytime soon, with two of the company's top executives now running into trouble with the law over alleged insider trading. According to The Taipei Times, both Chairman K.Y. Lee (who recently offered to leave the company) and President Sheaffer Lee have been named as defendants in the insider trading case against BenQ, which stems mainly from the company's mangled acquisition of Siemen AG's mobile phone business. Both men reportedly faced a grilling from prosecutors for some eight hours on Wednesday before being released on bail, at a cost of a couple of hundred thousand dollars apiece. Of course, these aren't the first charges to be laid against the company in the insider trading probe, with BenQ's CFO and senior VP Eric Yu still locked up after the last sweep by prosecutors. As if BenQ needed any more bad news, the company's shares unsurprisingly took a bit of a tumble after this latest development, adding further to the 20% loss the company has seen over the past three months.[Via The Inquirer]
BenQ faces insider trading probe as CFO gets locked up
If you thought the BenQ Mobile saga ended when Taiwan severed ties with the former Siemens unit and prepared to slice it up and serve it cold, you ain't seen nothin' yet. It's no secret that the struggling handset maker had been losing money ever since the handover, but apparently some company insiders may have used their knowledge of the impending bankruptcy filing to get out while the getting was still good -- selling shares of BenQ prior to the announcement and the inevitable consequences. So far 13 executives have been caught up in the sting -- including CFO and senior VP Eric Yu, who is still being "detained" along with six others in lieu of what is probably well over $100,000 bail -- and although Chairman K.Y. Lee hasn't yet been named as a person of interest, Taiwanese investors were still shaken enough to push BenQ shares down almost 7% to their lowest level in ten years. In a typical response during times of scrutiny, the company itself publicly pledged its cooperation, but with all the top dogs behind bars, we're not sure if anyone will still be around to provide the relevant documents. Either way, you should hold on tight to all that BenQ gear you've been collecting over the years, just in case, you know, they happen to become collectibles.[Thanks, Reg]
