Hewlett Packard Enterprise (HPE) is committed to continuing its £3bn lawsuit against the estate of the late Autonomy founder Mike Lynch. The case alleges fraud related to Autonomy’s 2011 sale to HPE.
- Lynch and his daughter were among seven victims in a recent vessel sinking.
- HPE’s lawsuit, initiated in 2015, accuses Lynch and his CFO of inflating Autonomy’s value.
- Despite Lynch’s acquittal in a separate trial this year, HPE is determined to pursue the damages claim.
- The High Court is expected to rule on the damages by the end of the year.
Hewlett Packard Enterprise (HPE) has confirmed its intention to continue its £3 billion lawsuit against the estate of the late Mike Lynch, the founder of Autonomy, despite his recent passing. Lynch and his 18-year-old daughter, Hannah, were among seven victims in a vessel sinking two weeks ago.
An HPE spokesman asserted, “It is HPE’s intention to follow the proceedings through to their conclusion.” The legal action, which was first initiated in 2015, centres on allegations that Lynch and his former chief financial officer, Sushovan Hussain, engaged in fraudulent activities to inflate Autonomy’s valuation prior to its £7 billion sale to HPE in 2011.
Lynch, once celebrated and dubbed as “Britain’s Bill Gates,” witnessed a significant downturn in his reputation when the Autonomy deal unravelled less than a year after its completion. HPE subsequently brought a lawsuit against Lynch and Hussain in the High Court. In 2022, both were found liable for fraud, with the presiding judge describing their maneuvers as “contrived” and lacking “commercial substance.”
Hussain, who faced additional criminal charges in the United States, was convicted in 2018 and received a five-year prison sentence. In contrast, Lynch was acquitted earlier this year in a separate trial, a verdict that was seen by many as a notable vindication for the entrepreneur.
Despite Lynch’s acquittal, HPE is pressing forward with the civil case against his estate, seeking substantial damages. Mr Justice Hildyard is anticipated to provide a ruling on the damages by the end of this year. HPE has reiterated its commitment to not only pursue the initial damages claim but to also consider any potential appeals contingent on the outcome of the ruling.
A representative for Lynch’s family has declined to offer any comments regarding the ongoing legal proceedings.
The outcome of HPE’s £3bn lawsuit against the estate of Mike Lynch is awaited as the High Court prepares to deliver its ruling by year-end.
