Reyes got off easy by crying:
U.S. District Judge Charles Breyer provided an answer Wednesday, when he sentenced Gregory Reyes, the former chief executive of Brocade Communications Systems Inc., to 21 months in prison and fined him $15 million. Reyes was the first executive to go to trial.
While Reyes' $15 million fine won't dent the wallet of an executive who made hundreds of millions of dollars cashing out Brocade stock, the prison sentence sends a powerful signal to other executives awaiting trial on options-related charges.
"This offense is about honesty," Breyer said. "Every time Gregory Reyes falsified documents, repeatedly, over a three-year period, he was lying. That is the core of the defendant's criminal conduct."
Reyes, Brocade's CEO from 1998 to 2005, broke down crying during remarks to the judge, who said Reyes helped increase his sentence by obstructing justice as he prepared for trial.
"I'm sorry," Reyes said between sips of water and long pauses to compose himself. "There is much that I regret, and if I could turn back the clock, I would. There were many things I would have done differently."
Breyer's penalty was below the recommendation in federal sentencing guidelines, but Breyer said he was impressed by Reyes' charity work and nearly 400 letters of support.
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