BERLIN — German prosecutors charged two former Porsche executives on Wednesday with market manipulation in connection with the sports car company’s failed takeover of Volkswagen.
Prosecutors in Porsche’s home city of Stuttgart said that the company’s former chief executive, Wendelin Wiedeking, and former chief financial officer, Holger Härter, made misleading statements about the company’s intentions in 2008.
A statement issued by prosecutors Wednesday accuses the pair of denying up until Oct. 2008 their intention to increase Porsche’s stake in VW despite having decided to do so six months earlier.
The prosectuors said the denials caused VW’s share price to drop at a time when Porsche was secretly preparing to buy stock in the company, which is Europe’s largest automobile maker.
Porsche’s bid for Volkswagen failed, and VW eventually turned the tables to take over Porsche instead.
Article source: http://www.nytimes.com/2012/12/20/business/global/2-former-porsche-executives-charged-with-market-manipulation.html?partner=rss&emc=rss
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