Linda Chatman Thomsen, Director of the SEC's Division of Enforcement, stated, "The Apple option backdating illegal demonstrates the Commission's ongoing commitment to take action against stock options backdating and other executive compensation abuses. Because the options were in-the-money when granted i. The Commission alleges that, in order to avoid reporting this expense, Heinen caused Apple to backdate options to January 17,when Apple's share price was substantially lower.
Options backdating is the practice of altering the date a stock option was granted, to a usually While options backdating is not always illegal, it has been called "cheating the corporation in order to give the CEO more money than was. Why is backdating in the headlines now, and is it illegal? Backdating a stock-option purchase date, or grant date, essentially allows the owner.
The Dangers Of Options Backdating