If you can't nail Mike Lynch with fraud claim, judge asks HPE, can he score a win over you?

www.theregister.co.uk | 3/26/2019 | Staff
Caris (Posted by) Level 3
Click For Photo: https://regmedia.co.uk/2015/11/25/hpe_wood_street.jpg

Autonomy Trial Ex-Autonomy CEO Mike Lynch’s counterclaim against HPE, amid their ongoing legal battle over HP's ill-fated $11bn acquisition of Autonomy in 2011, will fail – because it was filed against the wrong legal entity, HPE’s barrister boldly claimed in court this afternoon.

Stating that Lynch’s £121m ($160m) counterclaim was in actual fact against Autonomy, over statements made in 2012 by Hewlett Packard regarding its $8.8bn writedown of the merger, barrister Laurence Rabinowitz QC told the High Court: “All in relation to statements made by HP. Not Autonomy.”

Words - Lynch - HP - Autonomy - Aftermath

In other words, it was claimed Lynch was, effectively, sued by HP's Autonomy in the aftermath of the acquisition, however, his counterclaim to Autonomy alleges HP defamed him. Thus, it is claimed, he is suing one entity for words said by another, up with which the English legal system will not put.

I just got here – what's it all about?

HP - Autonomy - Maker - Software - Track

In 2011, HP bought Autonomy – a maker of software to keep track of unstructured data, founded by Mike Lynch in the UK – for $11bn.

After the buyout, the US firm had to write down the value of Autonomy by $8.8bn, claiming it took the hit because the British firm had "misrepresented" its value. The former Autonomy CEO denies this.

HPE - Lynch - Autonomy - Sushovan - Hussain

HPE is now suing Lynch and Autonomy financial chief Sushovan Hussain in England at London's High Court, asking to be awarded $5bn in damages. Over in the States, prosecutors are pursuing a separate criminal case against Lynch and Autonomy bean-counter Stephen Chamberlain.

Legally speaking, Lynch is being sued by the company that inherited Autonomy’s assets, ACL Netherlands BV, with HPE and some of its other corporate presences supporting that lawsuit – though HPE is leading the actual litigation.

Rabinowitz - Mr - Justice - Hildyard - Trial

Even so, Rabinowitz told Mr Justice Hildyard, the trial judge, Lynch only filed the counterclaim because HPE and Autonomy had...
(Excerpt) Read more at: www.theregister.co.uk
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