Scientific-Atlanta Settles Claims Over Adelphia Scandal

Law360, New York (June 22, 2006, 12:00 AM EDT) -- Scientific-Atlanta Inc. will cough up $20 million to resolve charges brought by the U.S. Securities and Exchange Commission that it assisted cable operator Adelphia Communications Corp. in overstating its earnings by about $43 million.

The SEC, which filed the complaint on Thursday in the U.S. District Court for the Southern District of New York, claimed Scientific-Atlanta aided and abetted Adelphia’s financial fraud scheme by entering into an agreement to hike up the price of cable TV set-top boxes that it sold to Adelphia and to refund...
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