Autonomy CFO can’t attack accord, says HP

Hewlett-Packard Co. (HPQ) has said that former Autonomy Corp. finance chief, Sushovan Hussain shouldn’t be allowed to challenge its deal with investors to sue him over an $8.8 billion loss tied to HP’s purchase of Autonomy.

HP, in a filing yesterday in San Francisco federal court said that “Hussain was one of the chief architects of the massive fraud on HP that precipitated this litigation.” Last month, Hussain sought court permission to intervene in the accord between HP and shareholders, saying it illegally shields HP executives from blame for the botched deal.

HP and Autonomy executives have been trading barbs about the causes of HP’s Autonomy-related write down, with the computer maker alleging it was the victim of fraud and Autonomy’s ex-managers saying HP botched the acquisition.

The accord, which settles three shareholder suits against HP, “seeks to forever bury from disclosure the real reason for its 2012 write down of Autonomy: HP’s own destruction of Autonomy’s success,” Hussain said in court papers. A judge must approve the deal.

HP said last year that the U.S. Justice Department and the U.K. Serious Fraud Office have opened investigations relating to Autonomy after HP accused the company of misrepresenting its performance.

Lillian Arauz Haase, a spokeswoman for U.S. Attorney Melinda Haag in San Francisco, said she couldn’t confirm or deny the existence of an investigation.

Jina Roe, a spokeswoman for the SFO, said in an e-mail that the Autonomy probe is ongoing and declined further comment. 

Culled from Bloomberg Business Law