Darktrace PLC (LSE:DARK) nosedived 15%, to 323.4p, as one of its senior executives was named in relation to Britain’s largest-ever fraud.
The mid-cap company’s chief strategy officer Nicole Eagan was investigated by the US Department of Justice for her role in the £8.9bn (US$11bn) sale of software business Autonomy in 2011.
Eagan was "part of a clique responsible with the defendants for the operation of the impugned ‘levers,’" according to High Court judge Robert Hildyard, also known as Mr Justice Hildyard.
A year after the sale to Hewlett Packard (HP), HP claimed Autonomy was heavily over-inflated and worth just US$2.2bn, 80% below the paid price.
Hildyard confirmed earlier this year that HP's claims of fraud had "substantially succeeded."
Eagan and Autonomy chief operating officer Andy Kanter withdrew from testifying during the 2019 High Court case, shortly prior to their cross-examination, The Telegraph reported.