Accused of Fraud HP Settle with Shareholders for $57million

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Accused of Fraud HP Settle with Shareholders for $57million
Shareholders are accusing Hewlett-Packard Co of fraud. The reasoning being that for the past few years, the tech firm has abandoned its usual tried and tested business practices for riskier (arguably, less successful) gambles. Basically, anyway.

Back in 2011, CEO Leo Apotheker announced plans to refocus HP on business products and business services. He also planned to scrap WebOS. He also halted TouchPad sales after only 7 weeks on shelves. He also toyed with the idea of spinning off HP’s PC business.

Evidentially, this less than standard business practice was cause for alarm and Shareholders sued. HP has since agreed to pay out $57million to settle the lawsuit. HP spokesperson Sarah Pompei revealed,

"HP has reached a mutually acceptable resolution through a mediated settlement,”

While alternatively, Jonathan Gardner, the co-lead counsel for the class has said,

"We are very happy with the settlement and are glad to have achieved this recovery for the affected HP shareholders,"

All very civil.

Still, it acts as a solemn reminder that not all gambles pay off.



Accused of Fraud HP Settle with Shareholders for $57million on ClickOnline.com
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