SAN FRANCISCO — Brocade’s pricey lawsuit to force former executives to pay up for its backdating scandal has settled — and the company didn’t get the best return on its investment.
Gregory Reyes, the former Brocade Communications Systems CEO who was convicted criminally , has struck a deal for $12.5 million, according to sources familiar with the situation. The other two remaining civil defendants, Brocade directors Seth Neiman and Neal Dempsey, have agreed to pay about $400,000 and $200,000 respectively, according to the sources, who spoke on the condition of anonymity because the deal is not public.
