HP has settled a federal securities charge which claimed it illegally concealed the reason a director resigned.
SEC found that HP violated mandatory disclosure rules in the way it announced venture capitalist Tom Perkins' May 2006 resignation from the board.
According to Associated Press,HP will not be fined or even have to admit it did anything wrong. It just has to promise it will never do it again.
Michael Holston, HP's executive vice president and general counsel said that HP acted in what it believed to be a proper manner. But it understand and accepted the SEC's views.
Perkins quit in protest of the spying tactics used to ferret out the source of boardroom leaks to the media. HP didn't tell SEC why Perkins quit.