Thursday, November 2, 2006
Ex-Islanders co-owner gets prison for accounting fraud
NEW YORK -- A former co-owner of the New York Islanders was sentenced to 12 years in prison Thursday in a $400 million accounting fraud scandal at one of the world's largest software companies.
Sanjay Kumar, the 44-year-old former chief executive of Computer Associates International, pleaded guilty in April to obstruction of justice and securities fraud charges at the company, which since has become known as CA Inc.
"I know that I was wrong and there was no excuse for my conduct," Kumar told the judge at his sentencing at federal court. "I do apologize for my mistakes and ask for forgiveness from all involved."
Kumar could have faced life in prison, but Judge Leo Glasser called that unreasonable. In addition to the 12-year term, he was fined $8 million and ordered to surrender Feb. 27.
Kumar and Computer Associates founder Charles Wang bought the Islanders in 2000 for about $190 million.
According to a 2004 indictment, Kumar orchestrated a plot to report more than $2 billion in false revenue between 1999 and 2000. The indictment also charged that Kumar and other executives instructed salespeople to complete deals after the quarter had closed.
CA Inc., based on Long Island and with 15,000 employees worldwide, is the world's fifth-largest software provider.