Darktrace and Autonomy - following the money

Chronology of the events following the acquisition of Autonomy by HP and the scandals that followed. For more information you can read my Medium article https://medium.com/@kosev.luca/darktrace-and-autonomy-tracking-down-all-the-money-and-ceos-d45552d9e0a6

Transcript

1. Darktrace and Autonomy - follow the money Chronology of events: August 19, 2011 - Nov 30, 2018
2. August 19, 2011 "Shares in Autonomy soared after Hewlett-Packard announced a $11 billion deal to buy [the company]..." "Mr Lynch still holds an 8% stake in [Autonomy], worth more than $800M at the takeover price..." Source: https://www.ft.com/content/964fb710-c9d3-11e0-b88b-00144feabdc0
3. October 8, 2011 "Hewlett-Packard has completed the $12 billion buyout of UK software firm Autonomy." Source: https://www.bbc.com/news/business-15161453
4. May, 2012 "To help HP's Autonomy performance, says the company, they'll be replacing Lynch with executive vice president of HP Software Bill Veghte." Source: https://www.slashgear.com/hp-autonomy-co-founder-mike-lynch-replaced- 23229567/
5. September 1, 2012 "Invoke Capital Partners was founded by Dr Mike Lynch, members of the senior management team from Autonomy, ... with access to $1bn in capital." "Unlike many UK-based venture funds, Invoke is incorporated in the British Virgin Islands..." Source: https://www.crunchbase.com/organization/invoke-capital Source: https://ftalphaville.ft.com/2017/02/17/2184544/why-isnt-mike-lynch-spending-more- of-his-1bn-technology-fund/ Did you know? The British Virgin Islands are included on the most recognized lists of tax havens and do not have capital gains, profit and corporate taxes. Source: https://en.wikipedia.org/wiki/Taxation_in_the_British_Virgin_Islands
6. November, 2012 "H-P Says It Was Duped, Takes $8.8 Billion Charge." "An internal investigation had revealed "serious accounting improprieties" and "outright misrepresentations" in connections with Autonomy..." Source: https://www.wsj.com/articles/SB10001424127887324352004578130712448913412
7. June 10, 2013 Darktrace Ltd. incorporated in the United Kingdom with a single shareholder, Invoke Capital Partners Source: https://beta.companieshouse.gov.uk/company/08562035/filing-history?page=3
8. September 1, 2014 Nicole Eagan, former Autonomy CMO, is appointed Director of Darktrace Ltd. Source: https://beta.companieshouse.gov.uk/officers/l3Dj2GmPznrX3E8vEJFkuv7VyCs/appointments
9. February 27, 2015 Dr. Michael Lynch, former Autonomy CEO, is appointed Director of Darktrace Ltd. Source: https://beta.companieshouse.gov.uk/officers/jhw7JlixxGNBKeOLGgRWoy- 0rL0/appointments Sushovan Hussain, former Autonomy CFO, is appointed Director of Darktrace Ltd. Source: https://beta.companieshouse.gov.uk/officers/YmhmZ4ouKbk7E- ym5oDXzBzDYTM/appointments
10. March 31, 2015 "Hewlett-Packard is suing Autonomy co-founder Mike Lynch and former chief financial officer Sushovan Hussain for about $5.1bn." Source: https://www.bbc.co.uk/news/business-32131529
11. October, 2015 "Autonomy founder and ex-CEO Mike Lynch is suing HP for at least $150m in damages over its assertion that he helped cook the books to inflate the price it paid for the software firm." Source: https://www.theregister.co.uk/2015/10/01/lynch_sues_hp/
12. November 1, 2016 Sushovan Hussain resigns as Director of Darktrace Ltd.
13. November 10, 2016 Autonomy's former CFO, Sushovan Hussain, is indicted on 16 counts of conspiracy, wire fraud, and securities fraud in connection with HP's $11 billion acquisition of Autonomy in 2012. Source: https://www.complianceweek.com/blogs/accounting-auditing-update/former-autonomy- execs-face-fraud-charges-in-hp-deal Source: https://www.govinfo.gov/content/pkg/USCOURTS-cand-3_16-cr-00462/pdf/USCOURTS- cand-3_16-cr-00462-4.pdf
14. January 12, 2017 "Autonomy Corp.'s former chief financial officer pleaded not guilty to charges he schemed to inflate the price of his company's $11 billion takeover by Hewlett-Packard..." Source: https://www.bloomberg.com/news/articles/2017-01-12/ex-autonomy-cfo-pleads-not- guilty-in-hp-accounting-fraud-case Did you know? 65% of Darktrace's current executive team held senior leadership or executive positions at Autonomy. Source: https://web.archive.org/web/20170714210956/https:/www.darktrace.com/executive- team/
15. July 14, 2017 References to Autonomy were removed from 11 executive biographies on the darktrace executive team page.
16. April 30, 2018 "The former chief financial officer of Autonomy Corp. was found guilty of orchestrating an accounting fraud to arrive at the $10.3 billion price Hewlett-Packard Co. paid for the U.K. software maker more than six years ago." Source: https://www.bloomberg.com/news/articles/2018-04-30/former-autonomy-executive- hussain-convicted-of-accounting-fraud
17. November 14, 2018 U.S. District Court issues a subpoena requiring Invoke Capital to produce documents including those related to correspondence, financial transactions, share valuations, and sales involving Sushovan Hussain, Dr. Michael Lynch, Invoke Capital, and Darktrace. Source: https://www.plainsite.org/dockets/32xi6cila/california-northern-district-court/usa-v- hussain/? "Hussain Ties to Ex-Autonomy CEO May Imply Hush Money, US. Says" ""Where the same circle of participants who defrauded Autonomy's Investors, HP, and HP's investors are still reliant on the wealthiest of the co-conspirators, the government has legitimate concerns about hush money," prosecutors said in the filing." Source: https://www.bloomberg.com/news/articles/2018-11-20/hussain-ties-to-ex-autonomy-ceo-may-imply-hush-money- u-s-says
18. November 29, 2018 "Ex-Autonomy CEO Michael Lynch indicted for Fraud Tied to 2011 HP Deal." "Prosecutors had long identified Lynch, 53, as a co-conspirator with his chief financial officer at Autonomy, Sushovan Hussain, who was found guilty in April..." Source: https://www.bloomberg.com/news/articles/2018-11-29/ex-autonomy-ceo-lynch- indicted-for-fraud-tied-to-2011-hp-deal Did you know? Darktrace and Invoke are located at the same offices in Cambridge and London. Source: www.invokecapital.com Source: www.darktrace.com/en/contact/
19. November 30, 2018 Dr. Michael Lynch resigns as a director of Darktrace Ltd. You can find more information here https://medium.com/@kosev.luca/darktrace-and- autonomy-tracking-down-all-the-money-and-ceos-d45552d9e0a6