Enter your email address and start getting breaking law firm and legal news right now!
|Free Market Evaluation - Send us your resume and we will give you free feedback|
Hewlett-Packard Suing Former Autonomy Officials View Count: 998
Former Autonomy Chief Financial Officer Sushovan Hussain will be sued by Hewlett-Packard Co., according to a report from Reuters.
Hussain tried to block the company’s settlement of three shareholder lawsuits regarding its purchase of the software company.
The settlement was reached on June 30 and shareholders agreed to end their efforts to force current and former officials from the company to pay damages in relation to its purchase of Autonomy.
One of the officials named in the settlement was Chief Executive Officer Meg Whitman.
Despite this, the shareholders came to an agreement that would help HP go after other claims made against former officials from Autonomy, namely Hussain and former CEO Michael Lynch. They have denied any wrongdoing in the sale.
“The notion that (Hussain) should be permitted to intervene and challenge the substance of a settlement designed to protect the interests of the company he defrauded is ludicrous,” HP said in its court filing on Monday.
Hussain filed documents with the court in July, saying that the settlement is “collusive and unfair” if it is approved by a federal judge. He also said that the approval of the settlement would allow HP to “forever bury from disclosure the real reason for its 2012 write-down of Autonomy: HP’s own destruction of Autonomy’s success after the acquisition.”
Autonomy was purchased by HP in 2011 for $11.1 billion, but had its value written down by $8.8 billion just one year later. HP accused Autonomy officials of accounting fraud when this occurred.Hewlett-Packard Suing Former Autonomy Officials by Jim Vassallo