SiliconBeat

Tuesday was Barry Zwarenstein’s last day as chief financial officer at VeriFone Holdings, the same day the company officially wiped out $70 million in past profits when it filed amended financial statements with the Securities and Exchange Commission.

In December the San Jose-based electronic payments company shocked investors when it said it had miscalculated its costs for inventory, manufacturing and distribution in its previous three quarterly reports.

In April, VeriFone’s board completed its investigation into the matter, an effort involving some 70 professionals and forensic accountants, who evaluated more than 5 million documents and conducted more than 25 interviews of current and former VeriFone personnel. At that time, Zwarenstein “tendered his resignation,’’ to become effective as soon as the restatements were filed.

Zwarenstein’s separation agreement gave him a $250,000 lump sum severance payment that was to be offset by any bonus payments he received for fiscal 2007 that are reversed because of the restatement. Legal fees related to the negotiation of his separation agreement and any “investigation or defense of any pending or threatened litigation or governmental action’’ will also be paid.

Oh, and then there is the matter of prospective employers calling VeriFone for a reference. The company agreed that in the future it “shall communicate to any prospective employer’’ only the dates of Zwarenstein’s employment and his title. VeriFone will not “communicate to such prospective employers any view regarding (his) performance or conduct while employed,’’ or “any view regarding his responsibility or lack of responsibility’’ for VeriFone’s restatement.

VeriFone shares, which fell as much as 79 percent from the $48 they were trading just before its December announcement, got a lift this week after the company said that results for the final half of fiscal 2008 ending and sales for 2009 will both exceed analyst estimates. They closed Wednesday up $4.67, or 32 percent, to $19.40.