Dell to Restate Earnings Due to Accounting Fraud

Dell announced today that it will take a $100 million charge as a result of a settlement with the SEC. According to the article, the payment will be used to establish a reserve as the final tally of fines are worked out with the SEC.

Dell and the Securities and Exchange Commission agreed on a settlement, which includes the liability payment and a civil injunctive action against the company. It's a result of Dell's violation of federal securities laws related to its accounting practices and a separate investigation into its relationship with Intel. The $100 million payment will establish a reserve as the SEC and Dell work out the final tally of fines the PC maker will pay.

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