The technology firm Autonomy claimed that Tottenham Hotspur was an IT Company in order to increase the value of it’s own software business, according to statements made at the High Court.
The business was sold for £8.4 billion to Hewlett Packard in 2011 and is now the subject of a £4 billion fraud trial as both Autonomy and Hewlett Packard make separate claims.
This represents the largest fraud trial before the British Courts and is expected to last 9 months as Autonomy are being accused of using “unorthodox” measures to inflate the value of it’s business prior to it’s sale to HP.
Dr Lynch, from Autonomy, claims that no fraud was involved in the sale and that different accounting practices between the US and UK are to be blame for the dispute.
By contrast QC Laurence Rabinowitz, representing HP, commented that a series of deals between Tottenham Hotspur and Autonomy had been misclassified as licensing agreements to other software companies. With this therefore acting to increase the value of Autonomy to Hewlett Packard.
Additionally it was also claimed that Autonomy had misrepresented transactions with the Ministry of Defence and, possibly ironically, the Serious Fraud Office in 2012.
Hewlett Packard is pursuing £4 billion pounds in damages from former Chief Financial Officer Sushovan Hussain and Dr Lynch. By contrast the pair are counterclaiming for $125 million dollars in damages.
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