IP Protected: Digital Forensics Provide Critical Insights in Private Equity
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October 25, 2023
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Sifting through multiple layers of data, FTI Consulting uncovered evidence of intellectual property (“IP”) theft by former senior employees of a global manufacturer of converters and electronic components for the wind power industry and a portfolio company of a private equity firm.
Our Impact
Through chronological analysis, the FTI Consulting team uncovered compelling evidence of IP theft and actions that were detrimental to the client.
- This case underscores the critical role of digital forensics in protecting intellectual property and resolving corporate disputes, even in the face of significant challenges.
Situation
In 2020, a well-known private equity firm acquired a target. Shortly following the acquisition, disagreement in the transition plan led to two executives leaving the target and starting their own venture using specific IP similar to that of the portfolio company. Suspecting that its IP was stolen, the private equity firm’s head of operations engaged FTI Consulting to investigate.
Our Role
- The investigation was complicated by the company’s IT system overhaul which led to the loss of crucial evidence. The FTI Consulting team navigated through the complexities and recovered the data.
- Another challenge was the employees’ attempts to ease their tracks by deleting emails and files. It was a challenge to recover data with the Microsoft 365 Cloud environment, particularly when the former employees were attempting to delete emails and files. The FTI Consulting team formed a Cloud E-Discovery Taskforce to develop a tool specifically to recover data from Microsoft 365 Cloud and were able to successfully recover and restore the data.
Published
October 25, 2023
Key Contacts
Senior Managing Director, Leader of FTI Consulting Germany