Violation Tracker Individual Record

Company: 
Time Warner Inc. et al.
Current Parent Company: 
AT&T
Penalty: 
$23,000,000
Year: 
2006
Date: 
May 26, 2006
Primary Offense: 
accounting fraud or deficiencies
Violation Description: 

The Pennsylvania Attorney General announced that Time Warner Inc. and its subsidiary, America Online Inc., along with their accounting firm Ernst & Young, and other defendants, agreed to pay $23 million to settle allegations that they defrauded Pennsylvania teachers and state workers pension funds and two other Pennsylvania funds by reporting inflated revenue claims and employing improper accounting at AOL. The allegedly false and misleading statements were said to have occurred before, during and after the merger of Time Warner and AOL.

Level of Government: 
state
Action Type: 
agency action
Agency: 
Pennsylvania Attorney General
Civil or Criminal Case: 
civil
Private Lawsuit Resolution Type: 
settlement
Facility State: 
Pennsylvania
HQ Country of Parent: 
USA
HQ State of Parent: 
Texas
Ownership Structure of Parent: 
publicly traded
Major Industry of Parent: 
telecommunications
Specific Industry of Parent: 
telecommunications
Source of Data: 

"Attorney General Corbett Announces $23 Million Settlement with Time Warner," US States News, May 26, 2006 (via Nexis).

Source Notes: 
If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Parent company note: 
Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.