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Telephony/UC/Collaboration


SEC Charges More Ex-Nortel Executives

  • Written by Channel
  • September 13, 2007

Four more former Nortel Networks Corp. executives have been charged with accounting fraud.

The U.S. Securities and Exchange Commission filed the charges Wednesday against Douglas Hamilton, vice president of finance for optics; Craig Johnson, vice president of finance for wireline; James Kinney, vice president of finance for wireless; and Kenneth Taylor, vice president of finance for enterprise business. The SEC alleges in its complaint that the men misused accounting reserves to meet earnings targets.

The SEC said in 2002 and 2003 the executives claimed their units held millions in excess reserves and set aside $44 million in additional excess reserves to enhance the Candian equipment maker’s earnings, the SEC said.

Former CEO Frank Dunn, CFO Douglas Beatty, controller Michael Gollogly and assistant controller MaryAnne Pahapill were charged by the SEC in March. All the executives involved in the case were fired by Nortel in 2004.

Nortel Networks Corp. www.nortel.com
U.S. Securities and Exchange Commission www.sec.gov

Tags: Agents Telephony/UC/Collaboration

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