McAfee CFO Guilty in Accounting Case
Posted May 11, 2007 7:39 AM CDT
By Debra Cassens Weiss
A San Francisco jury has convicted the former chief financial officer of McAfee Inc. of securities fraud for inflating accounting figures.
The lawyer for Prabhat Goyal called the verdict an “an unjust result,” according to the Recorder. “We will do everything we can to have it corrected," said Stephen Jonas of Wilmer Cutler Pickering Hale and Dorr.
Jonas had argued Goyal’s accounting methods, which recorded revenue based on sales to distributors, were not illegal, according to the San Francisco Chronicle.
McAfee, formerly known as Network Associates, paid $50 million in a plea deal last year with the Securities and Exchange Commission. Prosecutors have indicted the company’s former general counsel, Kent Roberts, in an options backdating case.