SEC Turns Up Heat on Gemstar

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Gemstar-TV Guide International Inc. said the Securities and Exchange
Commission escalated its investigation into the company's accounting practices
to a formal inquiry, which gives the feds subpoena power.

Gemstar disclosed some questionable accounting practices earlier this year,
including the booking of more than $100 million in revenue from
Scientific-Atlanta Inc. that it had hoped to collect through litigation.

The company also booked $20 million from a barter deal as ad
revenue.

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