If the allegations are even remotely close to the "truth" and reality, it was not just that Moffat violated the trust of the shareholders.

What would really be the case is that a duly appointed IBM corporate officer, supported by the CEO, the Board of Directors and the senior officers of the company, a close friend and confidant of the CEO; has committed acts, with full knowledge of the law, that are probably have been injurious to the shareholders of the company and to other companies like SUN, etc.

Even if Moffat is judged totally innocent, you are right in that the good will of IBM's clients and potential acquisition targets has been affected.

The silence and lack of formal Armonk press releases from IBM Corporate Communications on this matter and specifically on this individual speaks volumes about IBM trustworthiness.