|By Maureen O'Gara||
|April 21, 2004 12:00 AM EDT||
CA has not made a clean break with Kumar and declined to explain why. He has been named Bill Gates-like to a new post as chief software architect, suggesting that maybe he's merely being shelved in case he survives the government's investigation of the CA's cooked books unscathed.
CA could not explain what a chief software architect really does or what would recommend Kumar for the job.
The company says it will appoint an interim CEO and start searching immediately for a new one both internally and externally.
Of course, it would be impossible to hire a new CEO if the old one is waiting in the wings ready to make a comeback as soon as the sky clears so maybe the new job is just a way to ease Kumar out without making it look like it's for cause.
One would think the heir presumptive is CA's new CFO Jeff Clarke, who, as Compaq's CFO, successfully handled Compaq's integration with HP from the Compaq side. He's completely unassociated with the regime responsible for the scandal.
Independent CA director Lewis Ranieri, the founder of Hyperion Partners LP, has stepped in as chairman.
On Monday morning after the New York Times ignited speculation that the CA board was about to kick Kumar out, the company fired nine people who it refused to identify who it said were caught in the dragnet launched last year by the board's audit committee to look into the company's shoddy accounting practices.
CA also said Monday that it had answered the Well Notice it got from the SEC in mid-January saying it might be taken to court for its sins. It's unclear whether the company met the deadline for a response.
The audit committee's investigation has so far cost five senior CA executives including its CFO and general counsel their jobs and reputations, maybe even their freedom.
In a statement released this morning CA said it was reviewing its actions with the Justice Department and SEC suggesting that it might be offering them Kumar's head as well as the others' to avoid a court trial.
Those terminated Monday were described only as four people from CA's legal department and five people from its finance department.
Eight of the people worked at company headquarters in Islandia, Long Island; one was based in Atlanta. And rumor has it that two other people resigned.
CA refused to explain why it had taken so long to implicate these nine underlings unless the idea was to sacrifice them to distract attention from Kumar, who is widely believed to have been a party to the fraud, if not an instigator.
Neither the government nor the audit committee has charged Kumar with anything, but testimony given by ex-CFO Ira Zar, who reported to Kumar, is believed to have implicated him as the shadowy "Executive A" Zar is supposed to have conferred with about revenue recognition.
Anyhow, CA has a reputation for being an autocracy, where acting on one's own initiative would be unthinkable, making Kumar's protestations of innocence suspect.
The twin government probes are now believed to be targeting him and other senior managers as well as retired company founder Charles Wang.
If, as he claims, Kumar honestly didn't know that his subordinates were cooking the books, then he's an overpaid incompetent. Either way, fool or scoundrel, his position was untenable and most of Wall Street thought he was doomed or should be.
In explaining its actions, CA's board said in a canned statement this morning that "The changes in Sanjay's role are not based on the conclusion that he engaged in any wrongdoing. Nonetheless, the conduct in question occurred during his tenure and the board felt this action was appropriate."
The company said Monday that the audit committee was nearing the end of its probe. The committee is supposed to say whether, in its opinion, CA should restate financial periods beyond fiscal 2000, when the committee has already admitted the company illegally recognized some $1.6 billion in revenues.
In a statement the company released Monday Kumar said CA is drawing on staff from other areas and from its international subsidiaries to pick up the slack created by the terminations.
There is further speculation that authorities could light out after directors who served on CA's board when the manipulation shenanigans were going on.
They would include Dick Grasso, former head of the New York Stock Exchange, who's already in hot water with New York's reform-minded Attorney General Eliot Spitzer for excessive pay.
CA expects to releases its four-quarter results on May 12.
|TheStreet.com 04/21/04 12:46:35 PM EDT|
says: Investors, evidently glad the company was taking action before the government, bid CA's stock up 84 cents, or 3.4%, to $26.41 at midday.
|Financial Times 04/21/04 12:45:12 PM EDT|
In a statement, Louis Ranieri, who took over as chairman on Wednesday, said that the decision to strip Mr Kumar of his responsibilities was "not based on the conclusion that he engaged in any wrongdoing." He added, thought, that "the conduct in question occurred during his tenure, and the board felt this action was appropriate."
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform and how we integrate our thinking to solve complicated problems. In his session at 19th Cloud Expo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm ...
Jun. 29, 2016 07:00 PM EDT Reads: 421
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
Jun. 29, 2016 05:30 PM EDT Reads: 1,031
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2016 Silicon Valley. The 19th Cloud Expo and 6th @ThingsExpo will take place on November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Interne...
Jun. 29, 2016 04:15 PM EDT Reads: 428
"We work in the area of Big Data analytics and Big Data analytics is a very crowded space - you have Hadoop, ETL, warehousing, visualization and there's a lot of effort trying to get these tools to talk to each other," explained Mukund Deshpande, head of the Analytics practice at Accelerite, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Jun. 29, 2016 04:15 PM EDT Reads: 407
The idea of comparing data in motion (at the sensor level) to data at rest (in a Big Data server warehouse) with predictive analytics in the cloud is very appealing to the industrial IoT sector. The problem Big Data vendors have, however, is access to that data in motion at the sensor location. In his session at @ThingsExpo, Scott Allen, CMO of FreeWave, discussed how as IoT is increasingly adopted by industrial markets, there is going to be an increased demand for sensor data from the outermos...
Jun. 29, 2016 04:00 PM EDT Reads: 357
UAS, drones or unmanned aircraft, no matter what you call them — this was their week. Our news stream was flooded with updates on the newly announced rules and regulations for commercial UAS from the FAA. So, naturally we have dedicated this week’s top news round up to highlight some of our favorite UAS stories.
Jun. 29, 2016 03:02 PM EDT Reads: 275
Internet of @ThingsExpo has announced today that Chris Matthieu has been named tech chair of Internet of @ThingsExpo 2016 Silicon Valley. The 6thInternet of @ThingsExpo will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 29, 2016 03:00 PM EDT Reads: 357
Basho Technologies has announced the latest release of Basho Riak TS, version 1.3. Riak TS is an enterprise-grade NoSQL database optimized for Internet of Things (IoT). The open source version enables developers to download the software for free and use it in production as well as make contributions to the code and develop applications around Riak TS. Enhancements to Riak TS make it quick, easy and cost-effective to spin up an instance to test new ideas and build IoT applications. In addition to...
Jun. 29, 2016 02:00 PM EDT Reads: 655
CenturyLink has announced that application server solutions from GENBAND are now available as part of CenturyLink’s Networx contracts. The General Services Administration (GSA)’s Networx program includes the largest telecommunications contract vehicles ever awarded by the federal government. CenturyLink recently secured an extension through spring 2020 of its offerings available to federal government agencies via GSA’s Networx Universal and Enterprise contracts. GENBAND’s EXPERiUS™ Application...
Jun. 29, 2016 02:00 PM EDT Reads: 384
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
Jun. 29, 2016 01:15 PM EDT Reads: 345
When people aren’t talking about VMs and containers, they’re talking about serverless architecture. Serverless is about no maintenance. It means you are not worried about low-level infrastructural and operational details. An event-driven serverless platform is a great use case for IoT. In his session at @ThingsExpo, Animesh Singh, an STSM and Lead for IBM Cloud Platform and Infrastructure, will detail how to build a distributed serverless, polyglot, microservices framework using open source tec...
Jun. 29, 2016 12:30 PM EDT Reads: 557
Presidio has received the 2015 EMC Partner Services Quality Award from EMC Corporation for achieving outstanding service excellence and customer satisfaction as measured by the EMC Partner Services Quality (PSQ) program. Presidio was also honored as the 2015 EMC Americas Marketing Excellence Partner of the Year and 2015 Mid-Market East Partner of the Year. The EMC PSQ program is a project-specific survey program designed for partners with Service Partner designations to solicit customer feedbac...
Jun. 29, 2016 11:00 AM EDT Reads: 592
Apixio Inc. has raised $19.3 million in Series D venture capital funding led by SSM Partners with participation from First Analysis, Bain Capital Ventures and Apixio’s largest angel investor. Apixio will dedicate the proceeds toward advancing and scaling products powered by its cognitive computing platform, further enabling insights for optimal patient care. The Series D funding comes as Apixio experiences strong momentum and increasing demand for its HCC Profiler solution, which mines unstruc...
Jun. 29, 2016 11:00 AM EDT Reads: 516
The IoT is changing the way enterprises conduct business. In his session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, discussed how businesses can gain an edge over competitors by empowering consumers to take control through IoT. He cited examples such as a Washington, D.C.-based sports club that leveraged IoT and the cloud to develop a comprehensive booking system. He also highlighted how IoT can revitalize and restore outdated business models, making them profitable ...
Jun. 29, 2016 11:00 AM EDT Reads: 482
IoT offers a value of almost $4 trillion to the manufacturing industry through platforms that can improve margins, optimize operations & drive high performance work teams. By using IoT technologies as a foundation, manufacturing customers are integrating worker safety with manufacturing systems, driving deep collaboration and utilizing analytics to exponentially increased per-unit margins. However, as Benoit Lheureux, the VP for Research at Gartner points out, “IoT project implementers often ...
Jun. 29, 2016 10:45 AM EDT Reads: 564
"delaPlex is a software development company. We do team-based outsourcing development," explained Mark Rivers, COO and Co-founder of delaPlex Software, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Jun. 29, 2016 10:30 AM EDT Reads: 510
In his general session at 18th Cloud Expo, Lee Atchison, Principal Cloud Architect and Advocate at New Relic, discussed cloud as a ‘better data center’ and how it adds new capacity (faster) and improves application availability (redundancy). The cloud is a ‘Dynamic Tool for Dynamic Apps’ and resource allocation is an integral part of your application architecture, so use only the resources you need and allocate /de-allocate resources on the fly.
Jun. 29, 2016 10:00 AM EDT Reads: 1,298
Connected devices and the industrial internet are growing exponentially every year with Cisco expecting 50 billion devices to be in operation by 2020. In this period of growth, location-based insights are becoming invaluable to many businesses as they adopt new connected technologies. Knowing when and where these devices connect from is critical for a number of scenarios in supply chain management, disaster management, emergency response, M2M, location marketing and more. In his session at @Th...
Jun. 29, 2016 09:45 AM EDT Reads: 1,260
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
Jun. 29, 2016 09:45 AM EDT Reads: 947
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Jun. 29, 2016 09:15 AM EDT Reads: 1,461