The members of Porsche Automobil Holding SE’s supervisory board have escaped the arm of the law as Stuttgart prosecutors have decided to stop a case against them for alleged market manipulation.
Porsche SE’s supervisory board members included Ferdinand Piech and Wolfgang Porsche and they were accused of market manipulation because of Porsche’s botched attempt to take over larger automaker Volkswagen Group back in 2008. Still, the prosecutors are upholding a separate case against former Porsche CEO Wendelin Wiedeking and the automaker’s ex-finance chief, Holger Haerter, in relation to the same allegations. “We welcome the decision by prosecutors and remain confident that the allegation of market manipulation against former management board members will prove to be unfounded,” commented in a recent statement Wolfgang Porsche, supervisory board chair at Porsche SE. The officials from the prosecutors’ office gave no immediate reasoning for their dropping of the case, though said a detailed statement on the matter would follow this week.
The issues goes back to 2008 when Wiedeking tried – unsuccessfully – to gain the upper hand over VW, but the move actually led to the hedge fund’s near bankruptcy. And to escape debt, Porsche SE had to allow the purchase of its sports car brand Porsche by the Volkswagen Group. Porsche SE gave up the idea of taking over the massive auto manufacturer and still maintains its 51 percent holding in the world’s (interim) largest automaker and the biggest in Europe. Porsche SE initially intended to increase its stake to 75 percent through various tactics and numerous investors have now accused the fund to initiate takeover plans earlier than publicly admitted.
Via Automotive News Europe