SAN FRANCISCO Nov 26 Hewlett-Packard Co was sued on Monday by an investor who claimed the company knew statements about its Autonomy acquisition were misleading and led the stock to fall, according to lawyers representing the plaintiff.
The proposed class action lawsuit was filed in a San Francisco federal court.
HP dropped a bombshell last Tuesday with an $8.8 billion write-down on its acquisition of British software firm Autonomy, saying the company inflated sales with improper accounting. Autonomy co-founder Mike Lynch has denied any wrongdoing.
HP bought Autonomy for a hefty $11.1 billion last year. HP has said it alerted regulators on both sides of the Atlantic.
The lawsuit, one of the first to be filed by investors on the Autonomy mess, said HP hid the fact it gained control of Autonomy based on financial statements that could not be relied upon. It also said that HP had not revealed to investors that it tried to undo the Autonomy agreement before it closed because of the accounting issues.
American Express can enforce credit card anti-steering rules
NEW YORK, Sept 26 A federal appeals court on Monday cleared the way for American Express Co to enforce rules prohibiting merchants that accept its cards from steering customers toward lower-cost cards offered by competitors.
Fed outlines which banks would get 'stress test' relief
WASHINGTON, Sept 26 Large regional banks that must satisfy the U.S. Federal Reserve's 'stress test' would be exempted from a key portion of the review that examines risk management and internal controls under a proposal outlined on Monday.