The announcement was made, ironically, less than three weeks after the government's case against the company was dismissed by a federal judge, The Los Angeles Times reported Wednesday.
The shareholder suit involved investors who bought company stock from July 21, 2005. to July 13, 2006. Shareholders said Broadcom was less than forthright about company expenses.
Broadcom frequently awarded backdated options -- an agreement to sell stocks at a certain price -- to employees to attract qualified workers. The practice is legal, but the expense must be divulged to shareholders, the Times said.
The practice has haunted Broadcom, however. In April 2008, in a similar case brought by the Securities and Exchange Commission, Broadcom paid $12 million. In August, the company agreed to a $118 million settlement for similar issues.
Copyright 2009 by United Press International.
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