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SEC Says Black Box Backdated Options

PITTSBURGH (CN) - The CEO and CFO of Black Box Corp. awarded corporate insiders $38.1 million in backdated stock options, the SEC says. The backdated handouts were part of $70.9 million in unrecorded expenses that CEO Frederick Young and CFO Anna Baird approved, the SEC says in its federal complaint.

Black Box, a tech services provider, had to restate its net income for fiscal years 1994 through 2006 to account for the $70.9 million, the agency says. Young directed the awarding of $38.1 million in backdated options between 1998 and 2001, according to the complaint.

The SEC seeks disgorgement and penalties.

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