British tech tycoon Mike Lynch has been acquitted of fraud charges in the United States related to the $11 billion sale of his software firm, Autonomy, to Hewlett-Packard in 2011. A jury in San Francisco found Lynch not guilty on all counts, a significant win for the entrepreneur who had been facing more than 20 years in prison if convicted.
Lynch, who co-founded Autonomy in 1996, denied the charges against him, emphasizing his focus on technology rather than accounting. The sale of Autonomy to Hewlett-Packard in 2011 was one of the largest takeovers of a British technology business at the time, earning Lynch £500 million.
Following the sale, Hewlett-Packard wrote down the value of Autonomy by $8.8 billion, leading to years of legal battles. The company’s former chief financial officer, Sushovan Hussain, was convicted of fraud in 2018.
Lynch’s defense team argued that Hewlett-Packard had failed to properly vet the deal and mismanaged the takeover, while Lynch himself testified that he was not involved in the transactions in question. The jury ultimately sided with Lynch, delivering a verdict of not guilty.
In a statement, Lynch expressed his elation at the verdict and his eagerness to return to the UK to be with his family and continue innovating in his field. His lawyers also hailed the outcome as a rejection of government overreach and a victory for the truth.