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UK tech giant founder Mike Lynch may be extradited to the US

Mike Lynch leaves the High Court in London on March 25, 2019

The founder of British software company Autonomy may be extradited to the United States on charges of conspiracy and fraud, a London court has heard.

Mike Lynch sold Autonomy to US IT giant Hewlett Packard (HP) for $ 11 billion in 2011.

He denies claims that he fraudulently inflated Autonomy’s value before the sale.

His lawyer, Chris Morvillo of Clifford Chance, said Dr Lynch was disappointed with the decision and would appeal.

Dr Lynch has faced civil charges in the High Court in London, where HP is suing him for damages under the deal. But separately, the US Department of Justice (DoJ) is pursuing criminal charges against him.

Judge Michael Snow said he would render his ruling in the action without waiting for the civil verdict, saying it was “of limited importance in the case.” Dr Lynch was released on bail by the London judge.

“Dr Lynch is disappointed that the court ruled against him without waiting for the judgment of the High Court in the civil case which considered all of these issues,” Mr Morvillo said.

“At the request of the US Department of Justice, the court ruled that a UK citizen who ran a UK company listed on the London Stock Exchange should be extradited to the US for allegations regarding his conduct in the UK.

“We say this matter belongs to the UK. If the Home Secretary nevertheless decides to order extradition, Dr Lynch intends to appeal.”

“Artificially inflated”

The UK’s Serious Fraud Office investigated the case in 2013, before dropping the case two years later due to “insufficient evidence”.

Autonomy was founded by Dr Lynch in 1996. It has developed software that can extract useful information from “unstructured” data sources such as phone calls, emails or videos, and then suggest responses to a call center operator or monitor. TV channels for words or topics.

Before being acquired by HP, it was headquartered in San Francisco and Cambridge in the United Kingdom.

In 2010, approximately 68% of Autonomy’s reported revenue came from the United States and elsewhere in the Americas.

HP and U.S. prosecutors allege that Dr. Lynch and other former Autonomous executives artificially inflated the software company’s revenue and profits between 2009 and 2011, causing HP to overpay the company.

But Dr Lynch argued that HP used the allegations to cover up its own mismanagement of Autonomy after the 2011 deal.

source: news.yahoo.com

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