Ex-Gemstar head hit for $60 million

first_imgFederal regulators want Henry Yuen, the former head of Gemstar-TV Guide International Inc., to pay more than $60 million in penalties for his alleged role in a securities fraud case, according to a court filing. The Securities and Exchange Commission proposed that Yuen pay a $15.7 million civil penalty over the alleged scheme to inflate company revenue to meet financial targets. The SEC is also seeking an additional $15.7 million from bonuses and other profits made by Yuen and wants him to forfeit a $29.5 million severance package that was previously frozen by a federal court. The SEC submitted its proposed penalties Monday. U.S. District Judge Mariana R. Pfaelzer must still rule on the matter. Yuen’s attorney, Stanley Arkin, has said an appeal of the case was being considered. Arkin did not immediately return a call seeking comment Wednesday. Last week, Pfaelzer found Yuen liable for securities fraud in the lawsuit filed by the SEC. The suit claimed Yuen inflated the company’s revenue by $248 million to boost its stock. Pfaelzer also found Yuen liable for misrepresenting facts to Gemstar’s auditors and falsifying its books. Yuen was fired in April 2003. Regulators contend his actions contributed to a windfall between 2000 and 2002 – at least $18.8 million in salary and bonuses, $14.6 million in exercised stock options, and more than $63.6 million in Gemstar stock sales. AD Quality Auto 360p 720p 1080p Top articles1/5READ MOREOregon Ducks football players get stuck on Disney ride during Rose Bowl event160Want local news?Sign up for the Localist and stay informed Something went wrong. Please try again.subscribeCongratulations! You’re all set!last_img read more

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