Dive Brief:
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Oracle was sued Wednesday by a former finance manager that alleges the company asked her to falsify accounting numbers for the company’s cloud business.
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The employee claims she was terminated last October in retaliation when she refused to do so.
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An Oracle spokeswoman told Fortune that its cloud accounting is “proper and correct” and that the company plans to countersue.
Dive Insight:
Former employee Svetlana Blackburn claims she was asked to add “millions of dollars of accruals” for projected business to Oracle’s cloud computing data sheet without any evidence that the numbers were legitimate.
Blackburn said Oracle terminated her employment on Oct. 15, 2015 in retaliation when she refused to do so. Blackburn said she received a positive performance review just two months before the incident. Oracle claims that Blackburn was in fact fired for poor performance.
Accounting for cloud computing sales has been a challenge for tech companies, because it’s not always clear what is – or what should be – included in cloud numbers. Some companies might include the hardware like servers and routers they make as part of their cloud revenue, while others might include software. Cloud computing figures are therefore not given much credence in the market overall.