“failed to stress”
I’m not fan of Martha Stewart, but I was, and am, appalled that the government basically put her in a cage for five months for the crime “sin” of not agreeing with them and not being complicit in the witch hunt against her.
Now we have news that Dell was fined $100 million by an unconstitutional, not-allowed-to-exist, not-allowed-to-create-laws, not-allowed-to-steal-money bureaucracy of the federal government. Why? Because Dell released information to its investors, but didn’t stress the appropriate parts of the information.
http://bits.blogs.nytimes.com/2010/07/23…
…According to the S.E.C., Kevin Rollins, Dell’s chief executive .. bragged in 2004 that Dell’s ability to meet or exceed Wall Street expectations for 12 quarters in a row was “driven by our tightly controlled supply chain, highly efficient infrastructure and direct relationships with customers.”
And yet, at around the same time, Mr. Rollins wrote to Michael S. Dell, the company’s founder, that “for 3 qtrs now, Intel money has made the qtr. A bad way to run the railroad,”…
… the S.E.C. hit Dell with accounting fraud charges, and the company settled the matter with a $100 million fine…
Dell’s management highlighted how the company was tweaking its supply chain… These executives .. failed to stress that Dell’s quarters were being made … by rebates from Intel…
So Dell released the information to investors, it just didn’t stress the information.
Government thieves steal another $100,000,000 from the private, productive sector.
$100 million dollars.
That’s enough to employ 1,000 engineers for a year at Dell.
You could launch 1,000 seed stage startups with that.
You could take a dozen seed startups and have them staff up in an A round.
…or you could throw it in a furnace and fuel the federal government for 13 minutes and 48 seconds.
It’s nice to see how serious the administration and the permanent bureacratic class are about creating jobs, boosting industry, and pushing America ahead.
July 24th, 2010 at 5:58 pm
I think the last sentence of the article sums up the problem the government had with Dell.
These days, Dell has three chip suppliers – Intel, A.M.D. and Via – and is certainly looking to put this difficult past behind it.
Dell lacked “diversity” in chip suppliers.
July 24th, 2010 at 9:35 pm
Maybe the Dell money will be enough to cover the cost of Conrad Black’s pending lawsuits. I like the note in the G&M article under comments: “Comments have been disabled. Editor’s Note: We have closed comments on this story for legal reasons.”
http://www.theglobeandmail.com/news/opinions/the-revenge-of-conrad-black/article1650324/
July 26th, 2010 at 12:43 pm
If asked, the SEC would say that this action was to protect Dell shareholders. My favorite part is how they helped Dell shareholders by … taking $100 million from them. I mean, who do they think is paying the fine?