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A Bad Day For EchoStar
Bloomberg reported March 10 that EchoStar Communications Corp. might have improperly booked transactions with suppliers and made suspect consulting payments to a friend of company Chairman and CEO Charles Ergen. The report cites unnamed sources that revealed the company’s audit committee is conducting an investigation into the matter following the unveiling of potentially illegal conduct by its independent auditor KPMG LLP. Sources also said the Securities and Exchange Commission has opened an investigation into Ergen’s role in the company’s accounting.
In other company news, the Associated Press reported March 10 that a federal court for the Eastern District of Texas, Marshall Division, denied a motion to have a patent infringement case filed against it from TiVo Inc. moved to a different jurisdiction. Jury selection for that trial is scheduled to begin on Oct. 4.
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