Dell to pay $100 million in SEC accounting probe

NEW YORK (BestGrowthStock) – Dell Inc said on Thursday it has agreed to a $100 million settlement with the U.S. Securities and Exchange Commission following an investigation into its accounting practices and its relationship with chipmaker Intel Corp.

The regulator also agreed to a settlement with company founder and chief executive Michael Dell, who has agreed to pay a civil monetary penalty of $4 million.

Under the terms of the settlement, neither the company nor Dell himself has admitted to or denied the allegations in the SEC’s complaint. The settlements are still subject to approval by a U.S. District Court.

Last month, Dell told investors it was in talks for a settlement with the SEC and had established a $100 million reserve.

The original SEC probe into the accounting matters began in 2005 and Dell later acknowledged accounting errors and restated financial results from 2003-2007.

“Dell’s board reaffirms its unanimous support for Michael Dell’s continued leadership,” said Sam Nunn, presiding director of the Dell board in a statement.

Shares of Round Rock, Texas-based Dell closed up 33 cents at $13.40 on the Nasdaq.

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(Reporting by Yinka Adegoke; Editing by Gary Hill)

Dell to pay $100 million in SEC accounting probe