Computer maker Dell has handed over $100 million so that they can get the current claims of fraud behind them. However in order for CEO Michael Dell to stay at the helm of the company he has had to pay a fine of $4 million, this is according to a report by Bloomberg on Business Week.
The reason behind this U.S. regulator’s investigation was due to the fact that Dell did not share information with investors that he had been taking “exclusivity payments” from chip maker Intel. This payment was to make certain that the computer maker would only come with Intel Inside and not rivals — such as AMD.
The article goes on to say that it was for this reason why Dell managed to reach its 2001 to 2006 earnings targets. This does show that there are some backhanded deals going on behind the scenes, but is nice to know that they are not above the law and always get found out in the end.
We know that Michael Dell has managed to stay on at the company, two other former CEOs were also hit in the pocket. Kevin Rollins and James Schneider had to pay fines of $4 and $3 million respectively.
Since news of these unhanded dealings came out, there has been a number of changes within the Dell team as well as showing their results to investigators. For a detailed look into this latest development visit the link above.