CA Inc.’s former chief executive Sanjay Kumar was sentenced to 12 years in prison for leading a $2.2 billion accounting fraud at the software maker, one of the largest in the US.

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US District Judge I. Leo Glasser imposed the term and an $8 million fine yesterday in Brooklyn and ordered Kumar, 44, to report to a federal prison by Feb. 27. Kumar pleaded guilty in April to charges including conspiracy, fraud, and obstruction of justice.

“His cupidity calls for a meaningful sentence,” the judge said. Glasser noted he didn’t impose the life sentence called for by federal guidelines and called imprisonment “not an appropriate measure of promoting rehabilitation.”

The sentence fell short of the longest recent prison terms for executives convicted in the crackdown on corporate fraud after Enron’s collapse in 2001.

Prosecutors said Kumar and other CA executives backdated contracts to inflate revenue at the company, formerly Computer Associates International Inc., the world’s second-largest maker of mainframe computer software.

“I apologize to the court for my mistakes and conduct,” Kumar told the judge.


Hong Kong, November 3, 2006 – LAWFUEL – Law News, Law Jobs – Shear…

Hong Kong, November 3, 2006 – LAWFUEL – Law News, Law Jobs – Shearman & Sterling LLP has represented the
underwriters Merrill Lynch, Credit Suisse, Deutsche Bank, China
International Capital Corporation Ltd. and ICEA Capital Ltd. in connection
with the US$22 billion initial public offering and dual listing of
Industrial & Commercial Bank of China (ICBC). This is the world’s largest
IPO ever. ICBC is China’s largest commercial bank with more than 18,000
branches and more than 150 million customers. The Rule 144A/Regulation S
offering is the first to be concurrently listed on the Hong Kong Stock
Exchange and the Shanghai Stock Exchange.

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