British entrepreneur Mike Lynch presented his defense in his fraud trial at a San Francisco federal court on Thursday. Lynch, a key witness in the case, stood by his actions at Autonomy, the technology company he co-founded and later sold.
Despite a motion for a mistrial by defense lawyers, the trial proceeded as scheduled on Thursday. The defense argued that prosecutors had improperly questioned a witness, alluding to Lynch’s potential extradition. The judge denied the mistrial motion but ordered the jury to disregard the improper questions and subsequent testimony.
Lynch faces 16 counts of wire fraud, securities fraud, and conspiracy related to the acquisition deal for Hewlett-Packard in 2011. He pleaded not guilty to charges of inflating Autonomy’s sales figures and deceiving auditors and regulators. If convicted, Lynch could face up to 25 years in prison.
During his testimony, Lynch mentioned that he mainly delegated tasks to employees and had a technical background when he started the company. He emphasized that Autonomy, like any business, was not without flaws.
The trial has showcased contrasting views on Lynch’s business practices. Lynch highlighted the complexities of running a business, contrasting the government’s claim of clear fraud with the realities of business operations.
Lynch described the trial experience as “surreal,” having witnessed various witnesses’ testimonies. He clarified that some decisions were made without his involvement. The prosecution has called over 30 witnesses since the trial commenced in March.
Lynch directly addressed the jury, explaining crucial concepts such as earnings reports, hardware sales, and Autonomy’s history. He also took time to interpret British expressions for the American jury.
The trial’s focus shifted to Autonomy’s hardware sales during Thursday’s questioning. Prosecutors claim that the company disguised its heavy reliance on hardware sales while presenting itself as a software firm. Lynch defended the practice, stating that selling hardware alongside software was a standard business approach.
The court adjourned on Thursday afternoon before the defense could conclude its questioning. The trial will resume after a U.S. holiday, with Lynch as the final defense witness, signaling the trial’s conclusion in the upcoming weeks.
Source: www.theguardian.com
