Hewlett Packard Enterprise announced on Monday that it will continue its legal pursuit of damages against the estate of British tech mogul Mike Lynch, who passed away in a yacht sinking incident last month. The U.S. technology company had accused Lynch and his former finance director of fraud in relation to its $11 billion takeover of his software company, Autonomy. The company is seeking up to $4 billion in damages, and the judge is expected to issue a decision on the final sum soon. Lynch was acquitted in a separate U.S. criminal trial of fraud and conspiracy charges prior to his death in the yacht sinking.
While Hewlett Packard has claimed that it has “substantially succeeded” in its civil fraud claims against Lynch and his former finance director, the final amount of damages payable is expected to be less than what the company is seeking. Lynch’s widow, Angela Bacares, could potentially be held liable for the damages. Lynch and his daughter were among six passengers who died when the luxury yacht they were on sank off the coast of Sicily. The incident, initially thought to be caused by a tornado over water, was later identified as a downburst. Italian prosecutors are investigating the yacht’s captain for possible charges including manslaughter.
The costly acquisition of Autonomy by Hewlett Packard in 2011 ultimately led to regret for the technology company. Despite the initial celebration of the deal, Hewlett Packard soon found itself entangled in legal disputes and allegations of fraud. The civil case in the UK against Lynch and his finance director has seen some success for Hewlett Packard, but the final outcome regarding damages remains uncertain. Lynch’s family has chosen not to comment on the ongoing legal proceedings surrounding the case.
The tragic yacht sinking that claimed the lives of Lynch and other passengers has brought further scrutiny and legal complications to an already complex situation. The survivors of the disaster, including Lynch’s wife and other passengers, are facing the aftermath of the incident and the potential legal consequences. The continuing investigations by Italian prosecutors into the captain and the circumstances surrounding the sinking of the superyacht add a layer of complexity to the overall case. With the upcoming decision on the final sum of damages by the UK High Court, the legal battle may continue to unfold in the coming months.
