LONDON (Reuters)-A British court said on Thursday that British technology billionaire Mike Lynch who sold Autonomy to HP could be extradited to the United States, facing allegations of securities fraud related to the $11 billion transaction.
Lynch’s lawyer said that if the British Home Secretary now decides to allow extradition, Lynch will appeal.
The appropriate judge of the Westminster District Court, Michael Snow, ruled that he was satisfied that the extradition complied with the defendant’s rights and referred the case to the Secretary of the Interior (Minister of the Interior) to decide whether to extradite him.
HP (NYSE:) claims that Lynch fraudulently exaggerated its value before selling Autonomy in 2011. Lynch denied these allegations.
Clifford Chance’s lawyer, Chris Morvillo, said: “Dr. Lynch is disappointed that the court has rendered a ruling on him without waiting for the High Court to make a decision in a civil case reviewing all these issues. Dr. Lynch denied the charges against him. ”
“At the request of the U.S. Department of Justice, the court ruled that a British citizen who runs a British company listed on the London Stock Exchange should be extradited to the U.S. because of his actions in the U.K.
“We said this case belongs to the United Kingdom. If the Secretary of the Interior still decides to order extradition, Dr. Lynch intends to appeal.”
The American company has sued Sushovan Hussain, a 56-year-old former Treasurer of Autonomy, in London for $5 billion, claiming that they fraudulently inflated the company’s value before the sale.
Awaiting a verdict in this case.
The separate hearing on whether Lynch should face criminal charges in the United States is a test of the extradition treaty, which critics say is unbalanced.
The front line is drawn on the issues that the legal system of the United Kingdom or the United States should give priority to.
The United States argues that although Autonomy is a British company, it has persuaded an American company to pay excessive fees for it.
“(Lynch) may be a British citizen, he may have a long connection in the UK, but once he conducts dishonest activities in the United States on such a huge scale, he can’t expect it-just like any other British CEO can’t. That way-to be spared from the U.S. judicial system,” his lawyer Mark Summers said at the hearing in February.
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