Dell settles with SEC for $100 million, moseys off into sunset
Looks like Dell might finally be at peace with the US Securities and Exchange Commission -- for now at least. The company has announced that it's reached a settlement for "alleged omissions prior to Fiscal 2008" regarding both its relation with Intel and some accounting this-and-that. In a nutshell, Dell was receiving payments from Intel (who had some nasty payouts of its own) to not use AMD chips, which the company didn't disclose to investors, and then failed to explain why profitability dropped once the payments stopped coming in. Remember that $100 million set aside in June for such a civil monetary penalty? Yep, this is exactly what it was for, and it's exactly what Dell is paying out. Additionally, CEO Michael Dell is paying $4 million out of pocket. Lesson learned, right guys?
