Ex-Comverse CEO Free on $1.3-Million Bail

Jacob “Kobi” Alexander, the former Comverse Technology Inc. chief executive facing extradition to the U.S. for securities fraud, was freed Tuesday on $1.3-million bail by a Namibian judge.

Alexander, 54, had been in jail in Windhoek, the Namibian capital, since his arrest there Sept. 27. The U.S. is trying to extradite him to face charges related to stock-option backdating. He was accused Aug. 9 of conspiracy, securities fraud, money laundering and making false filings to the Securities and Exchange Commission.

“This court has no strong evidence to keep the accused detained,” Magistrate Uaatjaa Uanivi said after a two-day hearing in Katatura, a suburb of Windhoek. The U.S. has yet to file an extradition application, indicating it is treating the matter with “non-urgency,” the judge said.

Alexander posted the full amount of his bail and surrendered his Israeli passport to Namibian authorities. While he fights extradition, he must report to a police station every Monday and Friday and stay in Windhoek unless granted permission to leave, Uanivi said.

Linda Lacewell, an assistant U.S. attorney, said in an affidavit read to the court Monday that Alexander would flee if granted bail. Orben Sibeya, a Namibian prosecutor, told the court that if released, Alexander would interfere with any investigations.

“It’s unfortunate that none of these grounds were substantiated,” Uanivi said Tuesday.

Alexander, an Israeli intelligence officer turned high-technology entrepreneur, hugged his wife Hana after the ruling. He, his wife and sister, Shaula, declined to comment.

Namibian Justice official Dennis Khama said the magistrate’s ruling would be studied before deciding on a possible appeal. The U.S. has 30 days from the date of Alexander’s arrest to make an extradition request, U.S. prosecutors said.

Uanivi said he granted bail because Alexander “has a work permit, and he has invested in Namibia.” Uanivi added that Alexander had brought his family to Namibia, a sign he plans to stay in the country.

Alexander was arrested at the Windhoek Country Club casino resort after suspicious transactions were reported to the southwest African country’s central bank. Authorities took him into custody as he ate lunch with his family at his home, which is in an area attached to the club.