Two former senior managers, including the then chief executive officer of Porsche SE, a holding trust, have been further charged by German officials for their alleged implication in the company’s unsuccessful takeover attempt of Volkswagen AG back in 2008.
This week the regional court in Stuttgart, where Porsche is headquartered, announced new charges filed against ex-CEO Wendelin Wiedeking and former finance chief Holger Haerter, with the action based on disclosure of Porsche’s October 2008 holding position and options that would have landed it majority control of around three quarters of Volkswagen AG. “The deceptive press statement is laid to charges against the defendants because it suggested that in future only a few VW common shares would be available on the market and, thus, pretended a permanent market squeeze,” commented Stuttgart prosecutors in a statement. Wiedeking and Haerter will be present for court proceedings from July 31 and have been charged with further market manipulation – the same accusation that was brought in 2012.
The primary charges are looking into where and how Porsche managed co conceal its takeover strategy and the new charges are now referring to the implications of the hedge fund’s plans, according to a spokesperson for the prosecutors’ office. The failed coup d’état led to numerous lawsuits against Porsche SE by other hedge funds as they accused their competitor of secretly gathering its stake in Volkswagen AG, the second largest automaker in the world and the biggest in Europe, today. Some of the trials have been turned down by various courts in Germany, so attention is now focusing on the upcoming charges against Wiedeking and Haerter.