CA's Kumar Awarded 12 Years Imprisonment

Former chief executive of Computer Associates International,
Sanjay Kumar, was sentenced to 12 years imprisonment and $8 mn fine for
orchestrating a $2.2 bn accounting fraud at the software company.

He had pleaded guilty in April to securities fraud and
obstruction of justice charges, and had faced a maximum sentence of life
imprisonment.

Kirby D Behre, a partner at the law firm of Paul, Hastings,
Janofsky & Walker and a former federal prosecutor, said he considered Kumar's
sentence stiff but just.

Kumar is the latest convicted chief executive to receive a
lengthy prison sentence in recent years.

Jeffrey K Skilling, former chief executive of Enron, was
sentenced to 24 years and four months imprisonment, while Bernard J Ebbers last
year received 25 years imprisonment.

CAI had tremendous success during the 1990s, largely under the
leadership of Kumar and the company's founder, Charles B Wang. Kumar was
compensated handsomely in return: in 1998, he netted a $330 mn bonus, one of the
largest paydays of any American executive.

Kumar arrived in the United States at the age of 14 after his
family fled Sri Lanka. Joining Computer Associates in 1987 at the age of 25,
Kumar earned promotions quickly: he became president and chief operating officer
in 1994, and in 2000 he assumed the role of chief executive. Two years later, he
added the title of chairman after Wang resigned.

But as the government's investigation stepped up, Kumar came
under scrutiny. Details have since emerged of the dubious accounting practices
that helped fuel Computer Associates' once-soaring stock price.