Fund Claims Siebel's Options Accounting Is Off

Bellini said the company took a deferred compensation charge in 1999, but she is unclear whether it relates to the options granted to Siebel and Wahl, and she is awaiting more answers from the company. Bellini has an in-line rating on Siebel, and her firm hasn't done banking business with Siebel.

"While this will certainly put pressure on the stock at the open, we believe it warrants more digging," Bellini said in a note. "We are awaiting more commentary from the company, in particular on the stock option grants that were issued below fair value in 1999."

In 2001, with IT spending plummeting, Tom Siebel gave up his salary and opted to receive only options. He currently holds 68 million shares of common stock and options totaling 45.6 million shares, including 23.7 million that are exercisable, according to Bellini.

Shares of Siebel inched down 3 cents, or 0.3%, to $7.66 in recent trading.

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