Mike Lynch, Autonomy’s founder, acquitted in US fraud trial against HP

Former Autonomy chief executive Dr Mike Lynch has been acquitted of criminal charges in a high-profile case involving Hewlett-Packard, marking the end of a 13-year legal battle. Lynch had been accused of falsely inflating revenues at the UK startup prior to its $11 billion sale to HP in 2011.

After a 12-week trial, Lynch was cleared of 15 counts of fraud and conspiracy related to the acquisition. This victory is significant, considering the low rate of acquittals in federal criminal cases in the US.

In a statement following the acquittal, Lynch expressed his elation and gratitude to the jury and his legal team. He looks forward to returning to the UK to be with his family and continue innovating in his field.

Lynch had maintained his innocence throughout the ordeal, claiming he was scapegoated by HP for its own failures in managing Autonomy post-acquisition. Prosecutors alleged that Lynch and others had inflated revenues and concealed high-margin software sales within unprofitable hardware sales.

Despite being extradited to the US and placed under house arrest, Lynch successfully argued in court that he was not involved in accounting matters, focusing instead on technical and marketing issues. The jury exonerated him on all counts, along with Autonomy’s former vice-president of finance.

The case had drawn attention to the UK’s tech industry and Lynch’s role as a prominent figure in the sector. Lynch, who co-founded Autonomy in 1996, has since been involved in various ventures, including founding the Invoke Capital VC and investing in cybersecurity company Darktrace.