Accounting firm KPMG LLP agreed to pay $10 million related to its audits of Gemstar-TV Guide International Inc.--the largest payment ever by an accounting firm in an SEC action. The SEC said that auditors at the firm relied "excessively on the honesty of management" in assessing Gemstar's financial statements, even when management's representations contradicted their findings. The commission said that between September 1999 through March 2002, Gemstar--which publishes TV Guide as well as an interactive program guide--improperly recognized significant advertising and licensing revenue from companies including Time Warner Cable ($18.1 million) and America Online ($23.5 million). KPMG approved the revenue recognition though it knew that Gemstar didn't have contracts with the licensees, the SEC said.