OTHER NEWS - June 2, 1994
From Times Staff and Wire Reports
Software Firm to Settle Suit: Platinum Software Corp., the maker of accounting software whose bookkeeping practices got it into legal trouble, said it has agreed to settle a class-action shareholder lawsuit for $17 million. Under the agreement, the Irvine-based firm would pay $2 million in cash and issue $15 million in corporate IOUs. A group of Platinum shareholders filed suit in January alleging that the company violated securities regulations. The suit prompted an internal accounting review. In April, the company acknowledged that it had overstated revenue for the past 18 months, prompting four top executives, including founder Gerald R. Blackie, to resign.
