PHILADELPHIA: A US federal judge has approved WorldCom Inc’s plan to pay a record US$750mil to settle fraud charges in its historic accounting scandal, clearing another hurdle for the beleaguered telecommunication company’s emergence from bankruptcy.
US District Judge Jed Rakoff in New York gave the green light on Monday to WorldCom’s settlement with the Securities and Exchange Commission (SEC), which calls for the company to pay US$500mil in cash and US$250mil in new stock in the reorganised company.