Option backdating settlement
Plaintiffs’ success on these fronts was resounding.
and certain individual defendants for a record-breaking 5 million.
We’ll continue to fight those counts because he was innocent.” The four charges carry a maximum possible sentence of 80 years in federal prison, a U. After that investigation, Karatz retired under fire from KB Home and the company agreed to restate earnings, accounting for million in undisclosed options-related compensation.
Karatz later settled a lawsuit with the SEC by agreeing to pay more than million in fines and restitution to KB Home.
Just over two months later, a settlement was also reached with the two remaining defendants – bringing the total recovery for the class to over 5 million.
In addition to the monetary recovery, United Health also made critical changes to a number of its corporate governance policies, including electing a shareholder-nominated member to the company’s Board of Directors.