i2 Technologies to pay $10 million fine
An SEC investigation into alleged misreporting $1 billion in income ends with the fine and no admission of guilt.
Software maker i2 Technologies has agreed to pay a $10 million fine to settle a Securities and Exchange Commission investigation alleging the company misstated about $1 billion in revenue, the Dallas company said this week. The proceeds from the fine will be placed in a fund for distribution to certain i2 shareholders.
The fraud probe stemmed from a series of accounting irregularities spanning five years. The problem, which came to light last year, led i2 to restate several earnings reports and resulted in a temporary delisting of its shares from the Nasdaq Stock Market. Under the settlement, i2 neither admits or denies any wrongdoing but has consented to a cease-and-desist order requiring future compliance with federal securities laws.