Sunday, June 18, 2006

SEC may clarify rules on backdating


The US Securities and Exchange Commission declared that "no shareholder should need a machete and a pith helmet to go hunting for what the CEO makes", as it said it was considering clarifying rules on stock options backdating.

In a speech in New York on Thursday night, Christopher Cox, SEC chairman, said his agency would consider the need for "additional guidance" on backdating.

The issue has cost the jobs of a handful of senior executives at some of the more than 20 US companies embroiled in questioning over the timing of stock options grants.

See full Article.