Take-Two Discloses That SEC Probe Now Formal

| About: Take-Two Interactive (TTWO)
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Take-Two (NASDAQ:TTWO) disclosed at the bottom of an 8-K yesterday that an informal probe by the SEC, originally just about stock options, has turned formal. The company originally disclosed the informal probe last July.

This time, the company says it was advised on March 15 that it had received the formal order, "which allows the SEC, among other things, to subpoena witnesses" in connection with the options debacle.

Key phrase there is "among other things," which suggests this extends beyond options. As has been previously reported, Take-Two has disclosed that it has received multiple subpoenas from the New York County Grand Jury regarding a laundry list of accounting and other items, including options.

It's unclear why the company waited until now to disclose the formal probe, which was known to Take-Two officials before and during the company's recent annual meeting, which included a shareholder coup that led to the ouster of CEO Paul Eibeler.

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