The Truth About Cars » Wiedeking The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. Fri, 18 Jul 2014 20:52:49 +0000 en-US hourly 1 The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. The Truth About Cars no The Truth About Cars (The Truth About Cars) 2006-2009 The Truth About Cars The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. The Truth About Cars » Wiedeking $2.7 Billion Lawsuit Against Porsche Goes To Court Wed, 19 Jun 2013 12:58:08 +0000

After a court in Braunschweig, Germany, dismissed two investor lawsuits against Porsche SE, it didn’t take the third one either. Instead, it delegated a lawsuit that seeks $2.7 billion in damages to a Hanover-based court that specializes in cartel matters, Reuters says. Finally, a decision after a hedge fund’s heart.

According to the wire service, “the decision to assign the case to a specialist court may boost plaintiffs’ hopes of getting a hearing from judges more familiar with the technicalities of financial markets.”

The suit is about the big March 2008 short squeeze that happened when Porsche said it owned nearly 75 percent of VW in shares and options. The leveraged buyout was badly timed: A few months later, all credit evaporated. Volkswagen ended up taking over Porsche.

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Former Porsche CFO Fined $820,000 Tue, 04 Jun 2013 13:40:38 +0000 Haerter goes to court

Haerter goes to court

Porsche’s former high-flying finance chief Holger Härter was been fined 630,000 euros ($820,000) for misleading French bank BNP Paribas in loan negotiations in early 2009. This despite testimonies by bank representatives who said BNP did not feel misled.

A criminal court in Stuttgart, Germany, on Tuesday sentenced Härter “for making incomplete and wrong statements about the value of VW share derivatives held by Porsche at the time,” Reuters says.

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Disgraced Porsche Managers Indicted For Stock Manipulation Wed, 19 Dec 2012 14:27:50 +0000

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.

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Wendelin Wiedeking In Trouble Again, This Time For Pizza Pies Wed, 14 Nov 2012 12:16:58 +0000

Remember Wendelin Wiedeking? The dethroned Porsche CEO that saw himself as chief of Volkswagen and possibly the world’s largest automaker, has found a new market niche: Pizza. He started a pizza & pasta chain called Vialino, which hopes to feed the hungry mouths of in Germany, Austria, and Switzerland with faux Italian food.  Before the first pizza is out of the oven, there is already new trouble: Two German companies feel duped.

There already is a successful chain called Vapiano, and they are irritated by the similarities in the name. Currently, they are planning no legal steps, says Manager Magazin. (Legal steps are more painful when the business is going, which will happen in late December.)

Another Italian fast food  chain called L’Osteria  discussed  a partnership with Wiedeking in 2011, and opened wide for alleged due diligence. No partnership happened.

In the meantime, the criminal probe into Wiedeking and his former finance chief Haerter is still on-going.

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Former Porsche Managers To Be Charged For Stock Manipulation Mon, 06 Aug 2012 15:51:36 +0000 After three years of work, police in Germany concluded its probe into the affair surrounding the failed takeover of Volkswagen by Porsche. Former Porsche CEO Wendelin Wiedeking and his then CFO Holger Haerter have been investigated for market manipulation.  According to Der Spiegel, the public prosecutor in Stuttgart, Germany, will charge the duo.  Reuters heard meanwhile that the trigger is not yet being pulled, and that the two have three suspense-filled months ahead of them.

Says Reuters:

A spokesman for prosecutors in Stuttgart, where Porsche is based, said on Monday a police-led probe into the affair has now been concluded, confirming a report by German magazine Der Spiegel.

Lawyers of the two former executives have until the end of October to respond to the findings of the probe – which looked into possible manipulation of VW’s share price by Wiedeking and Holger Haerter during the sportscar maker’s botched 2008-09 takeover of VW – the spokesman said.”

In 2008, Porsche denied that it wants to take over Volkswagen. Seven months later, Porsche had options for almost three quarters of VW. This triggered a historic short squeeze and propelled the Volkswagen stock to over 1,000 euros. The takeover bid nearly bankrupted Porsche. Volkswagen bought all Porsche on August 1.

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