Ex-Porsche CEO & CFO charged in failed VW takeover bid

The fallout from Porsche's failed takeover of Volkswagen continues as the German government has filed charges against former CEO Wendelin Wiedeking and CFO Holger Haerter.

Prosecutors in Stuttgart allege that the pair misled investors when they said the company wasn't preparing to takeover Volkswagen in 2008. However an investigation discovered plans for a takeover were in the works as far back as February 2008, which was eight months before Porsche officially announced the move. The government points out that Porsche denied plans to takeover Volkswagen at least five times between March 10th and October 2nd of 2008. They further allege these statements adversely effected Volkswagen's stock price which is why they have filed charges for market manipulation.

Wiedeking and Haerter both deny the allegations and their lawyers issued a joint statement that said "We're astonished to note the prosecution, with this indictment, wants to side with unknown short sellers, of all people, who made highly speculative and irrational bets against the VW stock."

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Automaker VW
Article type Corporate/Financial
Tags porsche-volkswagen, volkswagen-porsche, volkswagen hostile takeover, volkswagen takeover