A US court has refused to endorse a $100m (£59m)
out-of-court settlement to end insider dealing allegations against
Oracle chief executive officer Larry Ellison.
Ellison had volunteered to pay the money to charity over five
years to settle the claims, while denying any wrongdoing on his
part.
But a judge has questioned whether Oracle shareholders should be
responsible for the estimated $22.5m legal fees which the case has
spawned.
The judge did not reject the proposed settlement outright but
ordered a new hearing for 15 November, where further evidence will
be brought.
According to a lawsuit brought by a group of shareholders,
Ellison benefited from selling almost $900m worth of Oracle stock
in 2001, just before the company warned of a profit shortfall.
After the earnings announcement the stock that Ellison had sold
was worth just over half of its original value.
