Minnesotas attorney general can move forward with her probe of UnitedHealth Groups backdating of stock options, an appeals court has ruled.
The Minnesota Court of Appeals affirmed a lower court ruling siding with state Attorney General Lori Swanson against UnitedHealth Group.
The court ruled that Swansons probe, which began in June 2006, can proceed as long as the focus is limited to potential violations of consumer-protection laws.
With todays court ruling requiring UnitedHealth Group to respond to our informational requests, we hope to finally get the information necessary for our investigation to move forward, Swanson said in a written statement.
William McGuire, former chief executive officer of UnitedHealth Group, resigned from the company effective December 2006 amid the backdating scandal where an internal investigation showed that retroactively he picked the most profitable dates to price his options, worth $1.78 billion at the time. Other lawsuits and investigations are ongoing in the matter and McGuires unexercised options have been frozen until Dec. 6 by a federal judge. -- by Rebecca Vesely
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