Jury Convicts Four Enterasys Execs, Acquits One

Law360, New York (December 20, 2006, 12:00 AM EST) -- Four former executives of Enterasys Networks Inc. were convicted on securities fraud and conspiracy charges Tuesday by a federal jury in New Hampshire for their alleged roles in a scheme to inflate the company's stock.

Prosecutors in the U.S. District Court for the District of New Hampshire said that the scheme entailed backdating and falsifying documents, and concealing deal terms. The conspirators also allegedly created false revenue by secretly investing company funds in other companies and forcing those companies to then use the investment to buy...
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