I figure the only way for the public to trust in co's again is to put the fear of god into these mgmt's. I say execute a few of these bozo's to make some examples and the b.s. will stop.
Friday May 10, 8:13 am Eastern Time
Press Release
SOURCE: Success Systems, Inc.
Peregrine Acting CEO Sued By Partner For Role In Alleged Looting Of Subsidiary
Said To Involve Boosting Peregrine Quarterly Revenue For June 2001
NORCROSS, Ga., May 10 /PRNewswire/ -- Peregrine Systems, Inc. (Nasdaq: PRGN - News) and its acting chief executive Richard Nelson were sued Thursday for their role in the management of a subsidiary -- eXchangeBridge, Inc. (EXB). Success Systems, Inc. is a minority shareholder in EXB and has alleged in the lawsuit that Nelson, as a director at EXB, renegotiated the company's largest service agreement for a large upfront license fee at a huge loss over the term of the three-year contract for the purpose of artificially boosting quarterly revenue for EXB and Peregrine. The suit was filed in Dekalb County Superior Court in Decatur, Georgia.
The complaint alleges that Nelson renegotiated the agreement against the wishes of the other two members of the board and arranged for Peregrine to fire one of them -- the representative from SSI -- on the day of signing the new deal. After the CFO at EXB opposed the recognition of the entire payment in the June 2001 quarter, she was terminated as well. Ultimately, Peregrine was able to maintain its streak of sequential revenue growth.
SSI declined to comment and referred all questions to its attorney, Jeffrey L. Berhold. Mr. Berhold said that the company looked forward to presenting its evidence and making its case in the courtroom.
For further information contact:
Jeffrey L. Berhold
404-872-3800
jeff@berhold.com
This release was issued through eReleases.com - Your Source for Affordable PR. For more information, visit ereleases.com
SOURCE: Success Systems, Inc. |
