German court convicts Porsche ex-CFO Holger Haerter of credit fraud

Article by Anita Panait, on June 5, 2013

The Stuttgart Regional Court in Germany has fined former Porsche chief financial officer Holger Haerter EUR630,000 ($824,000) after finding him guilty of credit fraud in a criminal case over the refinancing of a EUR10-billion loan during a botched attempt bid to acquire Volkswagen in 2009.

Public prosecutors in Stuttgart had sought a three-year suspended prison sentence plus a EUR1 million fine, while Haerter's lawyers had batted for an acquittal. The German court ordered Haerter to pay 180 daily installments of EUR3,500 for making incomplete and wrong statements on the value of VW share derivatives held by Porsche.

Presiding Judge Roderich Martis said Haerter downplayed the liquidity needs of Porsche and failed to reveal the correct number of put options on VW shares that Porsche held during discussions with BNP Paribas over the bank’s EUR500-million share of the syndicated loan.

Martis said the information given by the defendants was wrong. He said that it doesn't matter that the defendants provided the correct information earlier in the process. He noted that in normal life, a lie doesn't disappear just because the truth was once said before.

Haerter said he would appeal the conviction, saying that "many things said were wrong.” The case was the first criminal verdict in a number of proceedings related to Porsche’s failed VW takeover bid. Porsche is currently facing civil actions seeking a total of around EUR5.5 billion in Germany. Local prosecutors have extended their market-manipulation probe to include the 2008 members of Porsche's supervisory board. [source: Bloomberg]

Topics: porsche

If you liked the article, share on:

Comments

Recommended

A lot of us know Singer Vehicle Design and their signature work of reimagining Porsche 911s, and making them look like hot rods from the 70s. They are not alone...
by - August 20, 2017
August 17, 2017 is a sad day for the Dodge Viper, its fans, enthusiasts and its admirers. It is the day when the last Dodge Viper rolled off the assembly...
by - August 20, 2017
A few months ago, Mercedes-Benz promised that they will be treating everyone to a “big surprise” during the Monterey Car Week. And true enough, many of us were stunned as...
by - August 19, 2017
McLaren has already shown some interest in electrifying their models. And initially, we thought that they will just use hybrid systems to use across their current lineup. Nevertheless, we have...
by - August 19, 2017
Fifty years after its glorious victory at the 24 Hours of Le Mans, Ford launches the 2018 Ford GT ’67 Heritage Edition at the 2017 Monterey Car Week. The red...
by - August 18, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries