Backdating and spring loading stock options Sex chats without registering
In February of 2009, Balsillie and Lazaridis agreed to pay million to settle the OSC backdating charges.
An alternative method for managers to enrich themselves with stock options is spring-loading. They conjecture that CEOs manipulate news announcements and not option grant dates.
In Recent Opinions, the Delaware Court of Chancery Has Denied Motions to Dismiss Stockholder Complaints that Directors Who Approved Backdated or Spring-Loaded Options Had Breached Their Fiduciary Duties to their Corporations and Stockholders.
The false date was a day when the stock price was lower than on the date of the actual option grant.
Recently, the Delaware Court of Chancery issued two opinions, each involving shareholder derivative suits, which, while largely dealing with procedural motions in advance of the discovery process, shed light on the Chancery Court's views on the practices of stock option backdating and spring-loading. The plaintiffs challenged nine separate stock option grants between 19 to Maxim's founder, chairman of the board and chief executive officer, John F.
Chancellor Chandler of the Delaware Court of Chancery issued an opinion on February 6, 2007, denying the defendants' motions to stay and to dismiss a derivative action involving alleged options backdating in the case of Ryan v. Gifford, pursuant to two shareholder-approved stock option plans filed with the Securities and Exchange Commission.
This practice, known as backdating, enriches managers at the expense of other shareholders.
In 2008, the OSC charged Mike Lazaridis and Jim Balsillie (of RIM inc.) with option backdating.