Lie Study Sparked Stock Options Investigation
Bookmark & ShareMay 25, 2006
Source: CNN Money
The Securities and Exchange Commission and prosecutors are investigating whether companies "back-dated" stock options for some employees, or retroactively changed the date an options grant was effective, to a date that led to a bigger windfall for those who held the options. The controversy started after ERIK LIE, associate professor of finance at the University of Iowa, published a study in the journal Management Science in May 2005 noting that the granting of options to executives at several companies preceded big run-ups in the stock price.
Contact: Erik Lie, ,
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