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HP's Hurd and Dunn Need to Go

Original post made by J.L., Ventura, on Sep 21, 2006

It's baffling that a corporation of HP's status would continue to tolerate the presence of high-level executives who have been involved in - and enabled - pure identity theft.

THere should be an outcry from other corporate executives, and governance boards. the silence is deafening.

Web Link

Comments (8)

Posted by curious
a resident of Downtown North
on Sep 22, 2006 at 7:51 am

I think there is a difference between identity theft where someone steals money from a person, and pretexting to gain records for a leak investigation, where the targets have agreed to hold information confidential.

Posted by Bill Reller
a resident of Crescent Park
on Sep 22, 2006 at 11:26 am

Do not rush to judgement. It will come soon enough.

Posted by J. L.
a resident of Ventura
on Sep 22, 2006 at 1:37 pm

curious..."I think there is a difference between identity theft where someone steals money from a person, and pretexting to gain records for a leak investigation, where the targets have agreed to hold information confidential."
yes, there's a difference between the two in terms of the goal, but it's the MEANS toward that goal - i.e. illegal identity theft - that's in question. This is an *illegal* activity (see the prior thread on this) engaged by people at the very *top* of an organization that earned over many years a reputation for corporate governance beyond reproach.

The behavior is not only illegal, but reprehensible - given that corporate directors are *mandated by law* to maintain transparency.

That Hurd is still there, after admitting he was in on this activity, and that Dunn has merely been moved sideways - with both maintaining their jobs, perks, etc. etc. is a sign of dysfunctional corporate governance run amok.

They *broke the law*, and have *admitted* doing so. It's shocking to see almost nothing coming from Silicon Valley corporate boards, or even corporate governance organizations.

Looks like justice may be blind, execpt for those that can afford to buy their own justice.

Posted by J.L
a resident of Ventura
on Sep 22, 2006 at 1:50 pm

more obfuscation from Hurd,
Web Link

Funny how the press is calling it "damage control". Why not call it what it is - i.e. shucking and jiving while covering your tracks".

If Hurd goes before the Congressional Committee, it make him look like a hero because he's there to help "fight crime", as well as lending certain kinds of immunity if he's prosecuted. Pretty clever.

Another thing that's amusing is how the article quotes someone as saying that Hurd has "delivered" quarter over quarter for some time - as if he's done it all by himself. When will the press stop softpedaling white collar and executive boardroom malfeasance?

My hat is off to the Weekly for saying it like it is.

Posted by J.L
a resident of Ventura
on Sep 22, 2006 at 4:52 pm


"HP's investigators fraudulently obtained phone records by using peoples' Social Security Numbers, sent a tracking email to a reporter and used surveillance to follow a number of individuals."
Web Link

I love the headline in The Register - says it all.

So, Dunn did the right thing (or it was done for her, and she was eased out), but Hurd has gotten a promotion - now he's the Chairman. How convenient!

It turns out that HP corporate counsel was in on this. Those that led this should be disbarred, pay a fine, and do a year or two, just like the common indentity thieves that they are (if convicted).

Note to Hurd: "Where does the buck stop"? It's quite amazing to watch Hurd attempting to spin out of this like a top, as the shareholder's whose trust he was given suffer.

Hurd needs to go, and be used as an example (along with Dunn and the otehrs, if they're found guilty of a crime). Jail time (one year, with compulsory community service foro two more) - along with dismissal from HP WITHOUT any golden parachutes - would be appropriate.

Walk them all to their respective desks, let them take their personal belongings, and walk them to the door.

Posted by J.L.
a resident of Ventura
on Sep 25, 2006 at 9:38 pm

Finally! - a corporate governance oversight group speaks out...

Hurd is still spinning, trying to make it look like he's going to "save" HP. Good tactic. Will shareholders and his lame board see through it? The buck stops at the top, Mr. Hurd.

Web Link
(subscription required)

here's the text:
"Hewlett-Packard Co. should overhaul its board in the wake of the leak-investigation scandal, corporate-governance experts say, and four public pension funds are proposing a way for shareholders to help do that.

"The four funds -- representing public workers in Connecticut, New York, North Carolina and Washington, D.C. -- said they filed a proposal asking H-P to change its bylaws to allow any shareholder group holding 3% of the company's stock for at least a year to nominate one or more board candidates.

"Backers of the proposal are the New York State Common Retirement Fund, the Connecticut Retirement Plans and Trust Funds, the North Carolina Retirement Systems and the American Federation of State, County and Municipal Employees Pension Funds. Their proposal relies partly on a recent appeals court ruling that sided with AFSCME.

"Separately, a House committee studying the H-P imbroglio said it issued subpoenas to two H-P executives and a private investigator it had invited to testify at a hearing Thursday. Several other senior H-P executives -- including Chief Executive Mark Hurd and former Chairman Patricia Dunn -- are expected to appear.

"The House Energy and Commerce Committee said it issued subpoenas to H-P Senior Counsel Kevin Hunsaker and H-P Global Security Manager Anthony Gentilucci; an H-P spokesman said Mr. Gentilucci plans to resign today. The other subpoena recipient is Ron DeLia, operator of Security Outsourcing Solutions Inc., a Boston-area private investigation firm that H-P used.

"Miles Ehrlich, who represents Mr. Gentilucci, said "we have not decided whether he's going to testify. We will be there at the hearing." A lawyer for Mr. Hunsaker acknowledged receiving the subpoena but declined to make additional comment. Mr. DeLia's lawyer didn't return calls.

"Ms. Dunn resigned last week at the request of the board in the wake of disclosures about investigation tactics that have prompted several government probes. Director Thomas Perkins resigned in May to protest the H-P leak investigation; George Keyworth, a focus of the probe, also has resigned.

"Mr. Hurd announced Ms. Dunn's immediate resignation Friday at a news conference, outlining a series of tactics used by the company in investigating board leaks, including obtaining phone records of journalists under false pretenses.

"Mr. Hurd, who assumed the chairman's role from Ms. Dunn, promised H-P employees earlier this month that he would try to improve the board. "You have a board here right now that is crippled in every way imaginable," said Ralph D. Ward, a Michigan author who publishes a newsletter called Boardroom Insider.

"Even before finding new directors, Mr. Ward said, the board should get outside assistance in thoroughly investigating what it did wrong in the leak investigation. He then proposes Mr. Hurd lay out a plan for giving up the chairmanship eventually to an outside director.

"H-P should give over about one-third of its board seats to newcomers, said Kirk O. Hanson, executive director of the Markkula Center for Applied Ethics at Santa Clara (Calif.) University.

"Mr. Perkins expressed his opinions about Ms. Dunn in a July 17 email to Mr. Hurd, being reported by The Wall Street Journal's editorial page today."

Posted by mayfield child
a resident of Green Acres
on Sep 26, 2006 at 11:43 pm

Try reading the headlines of the old PALO ALTO WEAKLY (notice the SPELLING is a bit different, but SO WAS the news...)

Published 1997 - 1998 and ... Palo Alto Weakly was published and distributed to local coffee shops, ETC.......

Posted by J.L.
a resident of Ventura
on Sep 27, 2006 at 11:34 pm

Web Link

Dunn gets inducted into a local business hall of fame - great timing! Someone in today's "Streetwise" column was quoted as saying "there's no honor among thieves, be it playing out in one corporation or in conflicts all over the world." That says it all.

It looks like HP's then-CFO has been implicated by Dunn, and more than a few others. Where was Hurd in all of this?

This link
Web Link
appears to implicate Hurd. if any of this is true, and Hurd keeps his job, we'll have another example of special treatment of corporate higher-ups, with a clear message sent that it's OK to 'tweak' the law if you have friends in high places.

Former Enron exec Andrew Fastow got six years for his role of significantly and negativvely impacting the future of thousands of Enron employees and thousands of others (maybe millions), who had their electric utility bills go through the roof. Will all the stories of the "little guy who owned a store that went under because the owner couldn't afford to pay the electric bill" ever be told?

Justice is selective, especially when it comes to the well-connected.

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