In 2006 a storm hit the corporate world as companies were alleged to have "backdated" stock options to unfairly benefit their executives. Under an obscure accounting guideline this resulted in the companies' financial statements being inaccurate and therefore "fraudulently misleading" to investors.
In this very personal story I will describe how I became a target of federal prosecutors because of my role as CFO of Broadcom Corporation. Using courtroom testimony I will demonstrate how overzealous prosecutors intimidated innocent current and former Broadcom employees into providing statements and testimony that was favorable to the prosecutors' version of events. Using transcripts from my trial I will take the reader through the unprecedented twists and turns that left the most experienced attorneys in amazement.
The story has a happy ending. The wise and courageous judge in the case, the Honorable Cormac J. Carney, issued a ruling before the case was to go to the jury. He said, "To submit this case to the jury would make a mockery of Mr. Ruehle's constitutional right to compulsory process and a fair trial." He then turned to me and said, "Mr. Ruehle, you are a free man."