Computer associates backdating contracts

Zar and Rivard were fired last year after an internal investigation -- sparked by external probes by the SEC and U. attorney's office -- found that the company booked revenue earlier than it should have.Kaplan left to "pursue other opportunities" in December.In its complaint against Silverstein, the SEC said some CA employees referred to the company's extended quarters practice as its "35-day month" because quarters were generally extended by at least three business days.The period in question predates the move by CA to a new subscription revenue model under which it recognizes revenue incrementally over the life of a contract -- rather than upfront as it previously did.At least 18% of revenue in the first quarter, 33% of revenue in the second quarter, 26% of revenue in the third quarter and 7% of revenue in the fourth quarter involved contracts not executed by CA or the company's clients by the quarter's end.In fiscal year 2000, CA met or exceeded the Wall Street consensus estimate.But CA missed its earnings estimate in the first quarter of fiscal 2001, when the company refrained from recognizing revenue prematurely, and its stock plummeted more than 43% in a single day, according to the SEC.

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Hi - Can you please send me the link or attach the case study for me to review?Rivard also knew that CA customers were backdating signatures on contracts, according to the SEC.For all of the quarters of fiscal 2000, CA prematurely recognized more than

Hi - Can you please send me the link or attach the case study for me to review?

Rivard also knew that CA customers were backdating signatures on contracts, according to the SEC.

For all of the quarters of fiscal 2000, CA prematurely recognized more than $1.4 billion in revenue from at least 116 contracts that the client or CA signed after the quarter closed, the suit claims.

Investigators found enough evidence to prove that the former CFO illegally facilitated the backdating of many contracts.

Richards' involvement, as the global head of sales, included facilitating extensions of the fiscal quarter, allowing other employees to obtain contracts after the quarter-end (to boost reported earnings), and he failed to bring to the accounting and finance departments' attention that contracts may have been backdated.

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Hi - Can you please send me the link or attach the case study for me to review?Rivard also knew that CA customers were backdating signatures on contracts, according to the SEC.For all of the quarters of fiscal 2000, CA prematurely recognized more than $1.4 billion in revenue from at least 116 contracts that the client or CA signed after the quarter closed, the suit claims.Investigators found enough evidence to prove that the former CFO illegally facilitated the backdating of many contracts.Richards' involvement, as the global head of sales, included facilitating extensions of the fiscal quarter, allowing other employees to obtain contracts after the quarter-end (to boost reported earnings), and he failed to bring to the accounting and finance departments' attention that contracts may have been backdated.

.4 billion in revenue from at least 116 contracts that the client or CA signed after the quarter closed, the suit claims.Investigators found enough evidence to prove that the former CFO illegally facilitated the backdating of many contracts.Richards' involvement, as the global head of sales, included facilitating extensions of the fiscal quarter, allowing other employees to obtain contracts after the quarter-end (to boost reported earnings), and he failed to bring to the accounting and finance departments' attention that contracts may have been backdated.

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