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Former Autonomy boss Mike Lynch has struck back, filing a countersuit against HP.
Lynch filed the lawsuit with the UK High Court, claiming in excess of $150m in damages, caused - he says - by ‘false and negligent statements made about him and the Autonomy management team’.
This is just the latest event in the on going saga, which dates back to 2012. Late last week, documents came to light, which suggest that HP may have ignored warning signals prior to the doomed Autonomy deal.
Now Dr Lynch appears to be striking back while the iron is hot.
“Over the past three years, HP has made many statements that were highly damaging to me and misleading to the stock market,” Lynch said in a statement. “Worse – HP knew, or should have known, these statements were false.”
“We are finally starting to see what really happened with Autonomy. HP’s own documents, which the court will see, make clear that HP was simply incompetent in its operation of Autonomy, and the acquisition was doomed from the very beginning.”
“HP wasn’t misled by us or anyone else – evidence will show they didn’t even read their own due diligence report. Tragically, Autonomy is only one deal among the many that were mishandled by HP, which has written down $9 billion on three separate occasions since 2011. Every acquisition over a billion dollars that HP has made in the last five years has failed,” the co-founder of Autonomy said.
“Meg Whitman can explain all this to a judge when we finish this in court once and for all.”
An HP spokesperson responded to the filing, saying: “Mike Lynch’s lawsuit is a laughable and desperate attempt to divert attention from the $5bn lawsuit HP has filed and the ongoing criminal investigation. HP anxiously looks forward to the day Lynch and Hussain will be forced to answer for their actions in court.
The full counterclaim can be seen in full here.