Computer security giant Network Associates said Tuesday that the U.S. Securities and Exchange Commission (SEC) is investigating its accounting practices.
The announcement comes after antivirus vendor McAfee.com rejected the network security giant's initial bid to buy out the portion of McAfee it does not already own.
Santa Clara, California-based Network Associates said the SEC probe centers on accounting issues from fiscal 2000 -- prior to current senior management's arrival early last year. However, the formal investigation will mean a postponement of the company's efforts to acquire the rest of McAfee. Network Associates already owns about 75 percent of the antivirus company.
"We have reviewed the company's accounting for fiscal 2000, and we continue to believe that our accounting was proper," Network Associates chairman and CEO George Samenuk said in a conference call.
News source: NewsFactor - Virus Buster Network Associates Under Fire
