Wendelin Wiedeking, former Porsche CEO turned pizza baker, will have to defend himself in criminal court. Along with his former CFO Holger Härter, Wiedeking has been indicted in Stuttgart. This follows a three year probe by the public prosecutor in Stuttgart which had been looking into market manipulation and illegal disclosure of insider information. Only the market manipulation charge survived.
According to Germany’s Automobilwoche [sub], the two are being accused of having made “false statements in relationship with the stock purchase of Volkswagen AG.” Their takeover ploy had propelled Volkswagen’s stock to stratospheric heights. When the stock returned back to earth, Porsche was nearly suffocated by a mountain of debt. Takeover target Volkswagen turned the table and swallowed Porsche.
If found guilty, Wiedeking and Härter could spend up to five years in jail.
Your 2008 story “How Porsche NSFWed the Hedge Funds” is coming full circle. By the way, that story is what I credit for TTAC becoming my favorite automotive site.
At the time, I was telling everyone that would listen that Porsche, then the world’s most profitable automaker, was a hedge fund that happened to make cars. I thought it was pretty comical to see the company beat the hedge funds at their own game. Now that the chickens are coming home to roost, though, the fund guys will get the last laugh.
https://www.thetruthaboutcars.com/2008/11/how-porsche-nsfed-the-hedge-funds/ – Since I don’t know how to make the URL pretty.
Also, I think a co-lab between the great Jackie B and Herr Schmitt documenting this epic tale is too long in coming….
This guy looks like he could be the new Alfred E. Neuman; “What, me worry?”
I thought he looked more like Sergeant Schultz (John Banner) with that expression. “I know Nothing! Nothing!” I guess Hogan’s Heroes is just an old TV show, but Mad Magazine is still going strong.
This will provide more ammo for the law suits the affected hedge funds are bringing against Porsche (and now VW). This will take years and likely hurt VW.
Amazing it took this long.