Kreher Says HP’s Autonomy Claims Cover for Bad Purchase

Bill Kreher, an analyst at Edward Jones, said Hewlett-Packard Co. is accusing software maker Autonomy Corp. of falsified finances to deflect from a badly executed acquisition.

Hewlett-Packard, based in Palo Alto, California, last week accused Autonomy of financial irregularities and recorded a related $8.8 billion writedown. More than $5 billion of the impairment charge was the result of accounting practices, Hewlett-Packard said on Nov. 20. Autonomy has denied the allegations. Michael Thacker, a spokesman for Hewlett-Packard, said in an e-mailed statement today that Autonomy engaged in “a willful effort to mislead investors and potential buyers.”