The extradition of Mike Lynch to the United States will undoubtedly alarm numerous British enterprise folks.

Dr Lynch faces charges over Autonomy, the software program firm he based and which was purchased by Hewlett Packard in 2011 for $11bn.

The US {hardware} maker subsequently wrote off $8bn of the acquisition worth and has accused Dr Lynch of manipulating Autonomy's accounts.

Central to Dr Lynch's try to keep away from extradition was that Autonomy was a British firm, listed on the London Stock Exchange, topic to British accounting guidelines and whose takeover was carried out beneath British takeover guidelines.

Therefore, they argued, the British courts had been the place to listen to such a case.

The UK courts discovered towards him on the grounds that Autonomy had derived the vast majority of its gross sales within the US and that the losses incurred by HP had been suffered within the US and by American traders.

Unhelpfully for Dr Lynch, the UK's Serious Fraud Office had dropped its personal investigation into the takeover in 2015, indicating the US was probably the most applicable jurisdiction wherein any such proceedings ought to happen.

The US authorities additionally argued that claims made by Dr Lynch about Autonomy's monetary efficiency in telephone calls and emails to HP's advisers and executives had damaged US wire fraud regulation.

The implications for British enterprise folks, then, are that anybody who sells their enterprise to a US purchaser, who derives a proportion (nevertheless small) of their gross sales within the US, or whose shares are purchased by a US investor, could also be open to comparable therapy if perceived of wrongdoing.

It is why Dr Lynch's MP, the Conservative Party chairman Greg Hands, has beforehand argued the existence of the treaty will deter entrepreneurship and deter some British companies from promoting pursuits to US traders.

Aggressively going after British enterprise folks

The US definitely has kind in going after British enterprise folks aggressively.

Among the extra infamous instances was that of Nigel Potter, the previous chief govt of the playing and canine observe operator Wembley Group, who was jailed in 2005 for 3 years after being convicted on three counts of conspiring to commit wire fraud.

He was compelled to serve his sentence in a excessive safety jail as a result of, as an "alien", he was deemed a flight danger.

Unlike Dr Lynch, who fought extradition tooth and nail, Mr Potter had travelled to the US voluntarily in an try to clear his title. The mild-mannered accountant even discovered himself being clapped in leg irons when present process most cancers therapy.

Then there was Ian Norris, the previous chief govt of Morgan Crucible, the commercial supplies firm.

He was accused by the US of conspiring to repair the worth of automotive components and averted extradition when the House of Lords dominated he couldn't be convicted of the offences and, accordingly, not extradited.

The US then went after Mr Norris on a lesser cost of conspiring to impede a felony antitrust inquiry - and ended up being jailed for 18 months.

Most well-known had been the so-called "NatWest Three" - Giles Darby, David Bermingham and Gary Mulgrew - who had been convicted for wire fraud whereas working for NatWest and doing enterprise for the crashed US vitality buying and selling group Enron.

Like Dr Lynch, they argued that, as British nationals working for a British financial institution and whose alleged offences happened in Britain, they need to be tried in Britain.

The courts, once more, disagreed.

Prior to their extradition, the three argued they'd not obtain a good trial within the US, a priority additionally flagged by Dr Lynch and his supporters.

Mr Bermingham later wrote in The Times: "It is a near statistical certainty that someone extradited to the US will end up guilty, most probably through a plea bargain rather than going to trial, because the criminal justice system in the US is so heavily geared towards this outcome… a toxic combination of political machismo and judges who are political appointees produces a system where few sane people will run the risk of going to trial.

"Nearly 98% of individuals indicted within the federal system will plea discount, as a result of the penalties for shedding at trial are so disproportionate."

There is also a suspicion that the case against Dr Lynch has been motivated by spite on the part of HP for the way it ended up overpaying for Autonomy.

Meg Whitman, the former chief executive under whom HP pursued civil charges against Mr Lynch, has gone on to pursue a career in politics and is currently the US ambassador to Kenya. It is easy to see how the US Department for Justice might be tempted to take up the cudgels on behalf of such a big, established US company.

The embarrassment for HP from the Autonomy deal is lasting - not least because, in the City, Dr Lynch was always quite a divisive figure.

Had HP done better due diligence when it acquired Autonomy, it would not have had to look very far to find analysts who had accused the company of fiddling its figures.

The political dimension

There is a broader dimension to the case, too.

Many MPs, among them the former Brexit secretary David Davis, the security minister Tom Tugendhat and the former Liberal Democrat leaders Sir Vince Cable and Sir Menzies Campbell, say Dr Lynch's case raises broader issues of UK sovereignty.

They argue that the extradition treaty between the UK and the US signed by the Blair government in 2003 is one-sided and that more Britons seem to be extradited to the US than the other way round.

That criticism has intensified in the wake of America's refusal to extradite the diplomat's spouse Anne Sacoolas for inflicting the loss of life of the British teenager Harry Dunn.

Politicians, then, can be watching carefully to see what occurs to Dr Lynch.

So, too, will many British enterprise folks.