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Ex-Gemstar Exec Will Pay $1.3 Million to Settle SEC Charges

Feb 8, 2006  •  Post A Comment

An accounting scandal at Gemstar-TV Guide International moved another step toward the history books after the company’s former chief financial officer agreed Tuesday to pay $1.3 million to settle civil charges with the Securities and Exchange Commission.

Elsie Leung, who had been accused of participating in a scheme to artificially boost revenue, also agreed to a permanent prohibition against serving as an officer or director of a public company. As part of the agreement, Ms. Leung did not admit or deny any wrongdoing.

The settlement means Ms. Leung will avoid a trial in a case in which she was accused of falsely pumping advertising and licensing-fee revenue between 1999 and 2002 by at least $258 million.

Former CEO Henry Yuen is awaiting trial in connection with the case.