Human Capital & Careers

Options Probe Claims Forrester’s CFO

So far, options investigations have coincided with more than 30 executive resignations.
Stephen TaubDecember 20, 2006

Forrester Research said its Chief Financial Officer and Treasurer Warren Hadley has resigned, effective immediately. The market research firm said the departure is a result of initial findings of an internal investigation that uncovered irregularities with respect to an option grant for 5,000 shares made to Hadley in 1999.

The company said the impact of the option grant is not financially material, but noted that the review is still in the early stages. “Forrester is unable to speculate whether, when the investigation is complete, there will be any material impact on current or prior financial statements,” it added in a press release. The company said any adjustments that would be required are expected to be non-cash, stock compensation charges and related tax benefit or expense.

The company added that Chairman and Chief Executive Officer George F. Colony will serve as acting CFO while the company conducts a search for the position. By the Associated Press’ count, Hadley is one of now 60 senior executives, including 18 chief executives and a dozen other finance chiefs, who left 33 companies as a result of the various probes. CFO.com reported earlier in the year that executives from KB Homes, Affiliated Computer Services, Quest Software, SafeNet, Boston Communications, Sanmina-SCI, and Mercury Interactive, among others, left their respective companies amid investigations into options granting practices.

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