Ferranti International plc
Ferranti International plc had previously been Ferranti International Signal plc. The change of name, in 1990, was brought about after a serious fraud was uncovered by Ferranti once it had merged with International Signals and Control Group plc in 1987, the fraud was not uncovered by Ferranti until 1989.
The fraud amounted to a loss to Ferranti of £215 million as a result of this the company began legal proceedings against the former Chairman of International Signals & Control Mr James Guerin and three other senior employees. Ferranti were successful and Mr Guerin was ordered to pay $189.9 million to the Ferranti group. A similar judgement was given against the others who were also ordered to repay $189.9 million to the group.
As a consequence of the fraud Ferranti had to dispose of several of its interests in order to raise badly needed cash to reduce its debt burden. Amongst the companies sold were Ferranti Defence Systems Group to the General Electric Company. The Italian companies Ferranti had were sold to Finmeccancia plc. There were various other smaller interests including civil computer maintenance, Dundee components and laser business and a joint venture Thomson-CSF SA which were sold too.
However, not all the money was recovered from the various court actions on the 1st December 1993 a Administrative Receiver was appointed.