February 11, 2009 5:54 PM

Patricia Dunn: I Am Innocent

By
Daniel Schorn
(CBS)  The Hewlett-Packard board of directors was a leaky ship. Secret board deliberations were ending up in the press left and right, and it was decided something had to be done.

That something is arguably the most famous leak investigation since Watergate, and because of it Pattie Dunn, who was chairman of the HP board of directors, now faces criminal charges, and could go to jail.

As correspondent Lesley Stahl reports, the charges stem from the use of something called pretexting, where phone records are retrieved by subterfuge and pretense – where someone calls the phone company and pretends to be someone else in order to obtain the records.

The tactic was apparently used to retrieve the phone records not only of HP board members but of reporters as well. Social security numbers were also obtained, board members and journalists were followed, and there was even discussion of planting spies in newsrooms.

On Thursday, Pattie Dunn was booked on four felony counts in connection with the investigation.




Pattie Dunn, 53, is a former business CEO who just two weeks ago was inducted into the Bay Area Business Hall of Fame. She talked to 60 Minutes about what happened at HP only hours after the criminal charges against her were announced.

"Maybe someone will come in here while we're talking and put handcuffs on me. I don't know," Dunn tells Stahl.

"Let me ask you the obvious question that I think every lawyer who's watching this is asking himself or herself. Why are you giving us an interview right after you've been indicted? It's pretty unusual," Stahl asks.

"So my lawyer tells me," Dunn replies, laughing.

But her lawyer did approve of the interview. "I have a story to tell. I'm innocent. I need people to understand what happened. And I'm glad to have the chance to do it," Dunn says.

Her story involves the investigation into who from the board was leaking confidential information to the press, about corporate strategy, HP's interest in buying another tech company, even deliberations over who they would hire as CEO.

"The idea that the most sensitive discussions of the board would end up on the front page of the Wall Street Journal was destructive. It destroyed the trust between people and if they don't trust each other," Dunn says, "they can't function as a board."

Dunn says a majority of the board asked her to initiate a leak inquiry, which soon ran amok and has made her the public face of one of corporate America's biggest scandals.

She accepts no responsibility, admits no wrong. At the heart of the case is: what did Pattie Dunn know about the pretexting, or the use of pretenses to get phone records. Evidence includes a conference call, apparently with Dunn, during which pretexting was allegedly discussed, and notes of an interview with Dunn about the case.

"Quote, 'Dunn thinks it is probable that she was told in some circumstances they may need to use false pretenses,'" Stahl states.

"I refute those notes. I was never given a chance to review them," Dunn says. "This is not a deposition; this was not recorded. If it's going to be used as evidence against me, somebody needs to take my deposition."

And perhaps the most serious charge against her involves passing along personal information to the investigators to enable the pretexting.

"The complaint specifically mentions that you gave the investigators the home phone numbers of your fellow board members," Stahl says.

"I don't remember giving the investigators the home phone numbers of my fellow board members. But those are not hard to get within HP. They're public information within the board infrastructure," Dunn says.



Copyright 2009 CBS. All rights reserved.
Add a Comment See all 16 Comments
by bobrip1 October 10, 2006 11:55 AM EDT
After reading newspaper accounts of of Ms. Patricia Dunn and Ms. Carly Fiorina and watching your interview, I would conclude that these two ladies were caught up in an "old boy" network bent on their destruction. For my money I would like to see them
leave the business world and enter politics, where we despiritely need people of their ability and moral integrity. A fedup man
Reply to this comment
by exusmcsgt October 9, 2006 10:15 PM EDT
heresmy2cent-

Good question. Her degree is in journalism...go figure.
Reply to this comment
by rjr1239 October 9, 2006 6:00 PM EDT
I found the interview with Ms. Dunn very interesting. And even more intriging after the Ms. Fiorina segment. Go get them Ladies! It's time to break down that "Good Ole Boy Network" once and for all. I admire both of you for standing up to them and correcting your challengers.
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by skappesser October 9, 2006 6:00 PM EDT
"Old boys" aren't necessarily bad. Not sure what an "old boy network" is but if I ever find I'll let you know. Bill Hewlett and Dave Packard were "old boys". Take some time to read about the early beginnings of the Hewlett Packard company. These "old boys" were highly educated innovators -electronics pioneers of their day. The very best test equipment ever made was made by Hewlett Packard before they became a PC and printer company in the '90s. Most consumers and lay-people do not know that HP was a premier company going back into the 50's and '60s.
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by fischenet October 9, 2006 3:19 PM EDT
Patricia Dunn and Carly Fiorina are strong professional women who got the job done. The old boys network rings loud and clear; money and the majority rule. Where's the integrity of the board members who quietly agree with these women but are afraid to put their careers on the line... how can you sleep at night. Patricia, I applaud you for your courage and your strength. The old boys have underestimated you and you've done the right choice to come forward in public. You can't teach an old dog new tricks and the old boys will be the downfall of HP so as for those that can't sleep at night...it's now your turn to get the job done!
Reply to this comment
by exusmcsgt October 9, 2006 11:45 AM EDT
As if Dunn was about to admit on national TV that she is guilty......
Reply to this comment
by skappesser October 9, 2006 11:29 AM EDT
I think Leslie Stahl was a little too "chummy" and sympathetic with her high-powered corporate guests Patricia Dunn and Carly Fiorina. It seemed like these two highly people-skilled women had Leslie exactly where they wanted her(and the 60 Minutes organization)- as a means to strike back at their personal oppressors. It is so unfortunate that these intelligent and highly skilled ladies just could not "run with the Big Dogs" for long - perhaps they are destined for something better in life...
Reply to this comment
by oldrocker2 October 9, 2006 5:04 AM EDT
Tom Perkins fired himself from HP for protecting (in front of Dunn AND fellow HP boardmembers) discovered HP "leaker" Jay Keyworth (Perkins' best friend)--who spoke about HP secrets to the press and God knows who else. HP CEO Mark Hurd should resign for giving Keyworth a hefty "settlement" paycheck after firing him!!!

And in the most sickening cowardly fashion, Perkins lied to federal law enforcement on Dunn and had her arrested--because she didn't want to cover up matters HP stockholders had a right to know--after he sails from US shores on his mega yacht. If that isn't the actions of a criminal coward, I don't know what is.

If Tom Perkins believes money can buy a person's undeserved prison sentence, then it's safe to assume he could try to buy someone's death--making him a dangerous man.

This example of Administrative Abuse should be the model for putting employee protective laws on the books, like those on Sexual Harrassment.

Pattie Dunn is a brave woman, fighting for her freedom and life from ovarian cancer: I respect her greatly.

I'm no longer buying any HP products ever.




Reply to this comment
by wattermelann October 9, 2006 3:03 AM EDT
No one has the right to leak information about business matters to anyone without permission of the company. Those who leak are self-serving and lacking integrity and should not be in any position to have access to corporate privacy. Information is only shared with company permission. Obviously, Perkins and Keyworth had a plan that would benefit themselves and did not have HP well being in mind. These two men should be the ones indicted-they were being "sneaky" and they are now falling, so they want to pull down as many as they can in their "falling". In the end, these two sneaks are going to be the ones who will hit "rock bottom." and there will be no more cruises in the Mediteranean. What a couple of slime balls!
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by bike4life2 October 9, 2006 2:59 AM EDT
As a research scientist at a major pharmaceutical, it's common practice to sign a contract when hired that allows the company to fire you if you leak proprietary information that could compromise the company. I'm perplexed that board members apparently aren't required to do the same thing. Patricia Dunn had every right to determine which board members were leaking information. Jay Keyworth's leaks to the press compromised the integrity of HP. He should have been fired and never given the opportunity to resign. I'm pulling for you Pattie in your fights against cancer and a corrupt company.
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