The former chief executive officer of Rambus Inc. has resigned from the chip maker’s board because of his past role in the company’s issuance of apparently misdated stock option grants, according to the company.
The ex-CEO, Geoff Tate, headed Rambus from 1990 through 2005. On July 19, the company’s audit committee reached a preliminary conclusion that the actual measurement dates for a number of stock option grants issued during his tenure differ from the recorded grant dates for the awards.
In the years when those options were issued, Tate was “the sole member of the Stock Option Committee,” Rambus noted in a press release. “Given these circumstances and to ensure that there is not even the appearance of a conflict of interest, Geoff felt he could best support the company by resigning from his position on the Board as Rambus resolves these issues.” CFO.com could not immediately reach Tate for comment.
“We thank Geoff for his efforts in building the company’s strong technology base and for his many contributions to the company as CEO and director,” Rambus chairman Kevin Kennedy stated.
During the late 1990s Internet and technology bubble, the company’s stock traded well above $100 (after accounting for a split). On Tuesday, its shares closed at $11.39.