CEO’s Hitchcock-Inspired Deception Leads To Embarrassing SEC Fiasco
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Interviewer: “Mr. Dolan, the SEC filing purported to detail your company’s performance this last quarter. However, two of the points you addressed have been called into question. Can you tell us why you made these false claims and do you think there will be any lasting damage to the company’s reputation?”
James Dolan: “Yes, unfortunately I take full responsibility for the misinformation we released. What happened was that I was under a lot of pressure to present the best possible results for the quarter. I was so focused on making sure that I downplayed any signs of weakness that I allowed two significant inaccuracies to slip through. I thought I had done enough to cover up my mistake, but I didn’t realize how big a deal it was until I was faced with some very tough questions from the SEC.
It all started with the Anne Rice’s franchise launch. We had the numbers for the new series launch, but for some reason I still felt compelled to make it sound even more impressive. That’s when I remembered this Alfred Hitchcock administration technique I had studied in film school that could really make the numbers pop. I had thought it might be a bit much to include in the disclosure, but I was so desperate to make the numbers look better that I decided to go ahead and use it anyway.
So I included the data points in the disclosure, but what I failed to realize was that they weren’t accurate. Fast-forward to now and I’m sitting in the hot seat, feeling embarrassed and ashamed. Alfred Hitchcock himself, of all people, was in the room and he was not amused. He made his presence known in a very stern and authoritative way, leaving me more embarrassed than ever. That will definitely stick with me for a long time.
What I should have done was to be completely honest from the start and give our audience the real facts. Now I’m even more dedicated to being truthful in our disclosures and to telling our company’s story in the most accurate way possible. I take full responsibility for the mistake I made and I’m sorry for any damage it may have caused our reputation.”
Original Release: https://www.globenewswire.com/news-release/2023/02/17/2610670/16019/en/AMC-Networks-Inc-Reports-Fourth-Quarter-and-Full-Year-2022-Results.html