Activision Blizzard pays SEC $35 million to settle probe

LTC Eugene Chu
..."The SEC order did not explicitly mention Kotick or sexual harassment claims by some employees. Activision Blizzard had been under SEC investigation over the company's handling of sexual and personal harassment since 2021, the Journal previously reported.

"When the Company received complaints we responded to them appropriately and after the extensive and thorough reviews of workplace policies and procedures, workplace practices, compliance, and company data performed by an array of external company advisors including former EEOC Chair Gilbert Casellas, Skadden Arps, WilmerHale, Paul Hastings and CDF Labor Law LLP, the Board concluded there was never widespread or systemic harassment, retaliation or discrimination at the Company," an Activision Blizzard spokesperson said. "The Board and advisors also concluded there was no evidence that the Company's senior executives ignored complaints when they were reported."

Activision took steps from 2020 to 2022 to enhance procedures for handling employee complaints, the SEC order noted.

"As the order recognizes, we have enhanced our disclosure processes with regard to workplace reporting and updated our separation contract language," an Activision Blizzard spokesperson said on Friday.

The company settled an Equal Employment Opportunity Commission probe in March for $18 million over related claims of retaliation in connection with sexual harassment claims.

In December, the Federal Trade Commission moved to block Microsoft's acquisition of Activision, which was announced in January 2022, claiming that the deal would violate federal antitrust laws.'

That's a big debt to pay for preventable negligence!