HP and Mike Lynch trade suits in Autonomy battle

HP sues Autonomy founder for $5.1bn - but Mike Lynch responds with a countersuit

HP has sued Automony founder Mike Lynch for $5.1 billion - half of what the tech firm paid for the British software maker two years ago. 

HP bought Autonomy for $10 billion in 2011, when it was in the middle of being reworked from a PC maker to an IT services firm by then CEO Leo Apotheker. 

After Apotheker was ousted, current CEO Meg Whitman continued with the Autonomy purchase. However, HP soon thereafter wrote down $8.8 billion on the deal, pinning $5 billion of that on accounting issues at Autonomy. 

Two months ago, the Serious Fraud office dropped an investigation into the aquisition - though cases remain open in the US. 

HP has rekindled the battle on these shores by filing suit on Monday. 

An HP spokesperson told Bloomberg it was directed at Lynch and former CFO Sushovan Hussain, and alleges that "they engaged in fraudulent activities while executives at Autonomy". 

In response, Autonomy's former management team has said they will countersue for 100 million "for loss and damage caused by false and negligent statements made against them by HP on 20 November 2012 and in HP's subsequent smear campaign," the Bloomberg report added. 

Lynch denies accounting impropriety, blaming HP for Autonomy losing value. 

Featured Resources

2021 Thales cloud security study

The challenges of cloud data protection and access management in a hybrid and multi cloud world

Free download

IDC agility assessment

The competitive advantage in adaptability

Free Download

Digital transformation insights from CIOs for CIOs

Transformation pilotes, co-pilots, and engineers

Free download

What ITDMs did next - and what they should be doing now

Enable continued collaboration and communication for hybrid workers

Recommended

HP Envy 13 (13-ba1013na) review: Not a luxury laptop, but a long-lasting one
Laptops

HP Envy 13 (13-ba1013na) review: Not a luxury laptop, but a long-lasting one

25 Nov 2021
HP reveals Microsoft licensing management service for SMBs
Cloud

HP reveals Microsoft licensing management service for SMBs

17 Nov 2021
HP unveils new remote collaboration subscription offers
flexible working

HP unveils new remote collaboration subscription offers

10 Nov 2021
Inkjet vs Laser printers
Hardware

Inkjet vs Laser printers

1 Oct 2021

Most Popular

What should you really be asking about your remote access software?
Sponsored

What should you really be asking about your remote access software?

17 Nov 2021
Australia film archive gets $41.9 million to digitise audiovisual heritage
digitisation

Australia film archive gets $41.9 million to digitise audiovisual heritage

6 Dec 2021
Nike to take customers into the metaverse with 'NIKELAND'
virtualisation

Nike to take customers into the metaverse with 'NIKELAND'

19 Nov 2021