The results of the internal Apple investigation have been released.  The end result is that Apple will incur an $84m loss resulting from improperly recorded options from 1997 through 2002.  There were a total of 6,428 options granted inappropriately over 42 different dates.

Steve Jobs did recommend or know about several of the options that were recommended to maximize gains for other individuals but not himself.  The option that has raised eyebrows that was incorrectly recorded was reviewed initially by the board in October of 2001, but terms were not finalized until two months later in December at which time someone (undisclosed) backdated the option to the original date in October.

Questions Remaining

The total amount found would not appear to be material if $84m is the correct amount.  This leaves questions as to whom if anyone the SEC may pursue in this affair.  As the report indicates that Steve Jobs did recommend several of the dates for others, this may make him culpable if its found that those individuals reciprocated in some manner.  The board has indicated that they are willing to look beyond this possible fiduciary indiscretion and will continue to support Jobs to the relief of investors.  Then there is finally the question of whether or not the SEC or external investigators that is will trust the findings of internal investigators or perform their own search.  Will these findings by Apple open the door on this scandal or lock it up tight?

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