Monster’s financial statements materially overstated its quarterly and annual earnings and was later required to restate its historical financial results for 1997-2005 to the tune of $339.5 million to account for additional non-cash charges for option related compensation expenses.
The SEC had previously charged four of Monster’s former executives, CEO Andrew McKelvey, President and COO James Treacy, General Counsel Myron Olesnyckyj and Controller Anthony Bonica, for their alleged roles in the backdating scheme. Treacy has since been convicted of conspiracy and securities fraud, in which he improperly backdated millions of dollars in stock-options awards. Monster now operates under new management.
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