Tyco non-exec pleads guilty to fraud
Former Tyco non-executive director Frank Walsh, has pleaded guilty to fraud and promised US financial regulators that he will never serve as a director or officer of a public company again.
Walsh, who resigned from the conglomerate in February, failed to reveal a $20m payment he received from the company for helping CEO Dennis Kozlowski with the failed takeover of finance group CIT.
Half of the payment went to charity but Walsh has greed to pay back the full sum and a fine of $2.5m.
It was news of the payment to Walsh that began the downfall of Kozlowski.
Kozlowski and Tyco’s chief financial officer Mark Swartz have been charged with corruption and both have pleaded not guilty.