The Hindu : National : Ex-CEO of U.S. firm pleads guilty

Online edition of India's National Newspaper
Wednesday, Apr 26, 2006

National

National

Ex-CEO of U.S. firm pleads guilty

NEW YORK: Sanjay Kumar, former CEO of Computer Associates International Inc., has pleaded guilty to obstruction of justice, securities fraud and perjury charges related to a massive $2.2 billion accounting scandal at the company.

Kumar, who moved to the United States at the age of 14 with his family from Sri Lanka and became a naturalised American citizen, was charged in 2004 of showing revenue improperly for software licence to meet the financial analysts' expectation and lying to investigators.

The indictment also charged that executives instructed sales staff to complete deals after a financial quarter closed.

Kumar apologised to the Court on Monday saying: ``Your honour, my conduct was wrong. I take responsibility for participating in this practice, and I apologise for my actions."

The sentencing was set for September 12. The charges carry a maximum sentence of 20 years but he is likely to get a lesser sentence.

Kumar became Director of Software Development at UCCEL Corporation in 1987. The firm was bought by Computer Associates.

He resigned in April 2004 and was charged with securities fraud and obstruction of justice in September.

Kumar, who was born in Colombo in 1962, was once the right hand man of company founder Charles B. Wang. — PTI

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