January 23, 2007
A number of media outlets, including USA Today, have reported that an internal investigation by Grand Theft Auto publisher Take Two Interactive has blamed former CEO Ryan Brant for backdating stock options from 1997-2003. Brant resigned as T2 chairman last October. He stepped down as CEO several years prior.The investigation uncovered no wrongdoing by current executives. However, three former execs who declined to meet with investigators "appear to have had significant involvement in the company's stock-option granting process"
Brant was cited in a 2004 investigation by the Securities and Exchange Commission (SEC), which alleged that he and two other former T2 officials inflated company revenues. Although none of the executives named in that case admitted any wrongdoing, Take Two, Brant and the two executives paid penalties of more than $9 million, plus interest.
Reporter Roddy Boyd, who often covers Take Two for the New York Post, has more.
Comments
Take-Two Interactive is being blamed for a lot of things and being ambushed just like the warriors and I hope that, like the warriors, they make it through the hard times and survive the attacks from the anti-game activists and the people on Wall Street, who don't like them. Just like the warriors, they find themselves being attacked for no good reason other than people are stupid. Also, watch the film "The Warriors." It's one of the greatest films ever and the greatest film made before 1980. It rocks.
They broke regulations.. and possible laws.
God damn.
60%? If I had any say in it, they would take away 100% of any money they obtained while defrauding the company, and they should also be thrown in jail for fraud. After all, a corporation is technically a public business, and if someone robs it, they should be jailed. Stock fraud is almost as bad as going out and robbing a store at gunpoint, so why do the CEOs get to keep the money they stole and avoid jail time?
And therein lies the problem with granting stock options. My company has very strick rules about how options can be "cashed in". I don't know if they were put in place in response to stuff like this, but they're pretty clear about the need for transparency and lots of documentation so if something fishy goes on, there's a clear trail.
Ryan Brant, the ex-CEO of the video game publisher Take-Two, pleaded guilty to charges of backdating and agreed to pay $7.3 million to settle two options-related cases. Brant is Take-Two's founder. He apologized for his actions: "I am deeply sorry......