Neither Informix, nor any other such organization, has the authority to indemnify individuals from felony activity, which would include fraud. Further, the liability insurance that they paid for on their behalf isn't likely to cover damages resulting from criminal activity (fraud). Such policies are intended to cover negligence; any hint of intent on the part of the insured generally renders the policy moot.
Actually, this is somewhat interesting reading:
"Under the merger agreement, Informix has agreed to indemnify and provide directors' and officers' liability insurance for the directors and officers of Ardent for six years following"
Note that the deal was to "indemnify AND provide..." The D&O coverage is usually pretty standard in such deals, but I wonder if the indemnifications also covers fraud on the part of the directors and officers. If so, it may help explain how the BOD was able to (apparently successfully) ignore their fiduciary obligations to the stockholders.
<<Not true . I talked to the IR man and he told me exactly what happened. I either believe whom I don't or the IR man at ASCL.>>
"AS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION ON JANUARY 24, 2000 REGISTRATION NO. 333
SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549
FORM S-4 REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 INFORMIX CORPORATION
SOME OFFICERS AND DIRECTORS OF ARDENT HAVE CONFLICTS OF INTEREST ARISING OUT OF PERSONAL BENEFITS TO BE RECEIVED IN THE MERGER THAT COULD INFLUENCE THEIR SUPPORT OF THE MERGER. The personal benefits to be received in the merger by Ardent's executive officers and directors may raise conflicts of interest for each of these individuals because the receipt of these benefits may favorably influence their support of the merger. In particular, Ardent's change of control policy provides for severance benefits and the continuation of premium payments under whole-life insurance policies benefiting some of Ardent's executive officers and directors. Moreover, Informix and Mr. Gyenes have entered into a memorandum of understanding regarding an employment arrangement for a term of one year following the merger. Informix has also made offers of employment to Peter Fiore, James Foy and Jason Silvia that would provide salary, bonus, stock options and severance to such individuals. In addition, most of the outstanding options to purchase Ardent common stock held by executive officers and directors will, in accordance with the terms of various policies, plans and agreements, become fully vested as a result of the merger. Further, Mr. Gyenes and Mr. Morrill will be nominated and appointed to serve as directors on the Informix board of directors immediately following the merger. Under the merger agreement, Informix has agreed to indemnify and provide directors' and officers' liability insurance for the directors and officers of Ardent for six years following"
Oh, BTW, Go
told you that.
PG became a board member the day that the shareholders approved IFMX's buyout of ARDT. Use your signal service to research the SEC filings!
Just as a guess maybe low 70's. You work all your life to save money, and boom to the nursing home you go and where does all the money go? You are right if you say the government. Just think all that money you have going for health care. So I hope you make a lot. You will need it someday but not for what you think.
and he told me exactly what happened. I either believe whom I don't or the IR man at ASCL. You tell me whom should I believe, a Belligerent angry man who sounds like disgruntled employee or the IR man at ASCL.