Chuck Ross quoted by Silicon Valley Business Journal on stock options backdating


New Threat May Increase Options Exposure

“Attempts by the federal government to prosecute such cases have not been successful, says New York-based defense attorney Charles Ross. The only case against a company for retroactively choosing stock option exercise dates resulted in a hung jury, Ross says. . . . ‘At best, it’s tax evasion, but then they’ll have to prove intent from a very technical accounting angle,’ Ross says. And since the smoking gun often is limited to uncanny timing, proving criminal intent is a tall order, he adds.”