Jan. 28 (Bloomberg) -- Frankfurt prosecutors are investigating claims that “responsible people” at Porsche SE may have manipulated the trading of Volkswagen AG shares.
The Frankfurt prosecutors opened the probe following a complaint by a Berlin lawyer, prosecutors’ spokeswoman Doris Moeller-Scheu said in an interview today. She didn’t identify the lawyer and added that her office will now await findings of an investigation started last year by Germany’s financial regulator BaFin.
“We have to open a file if we get such a complaint, but we will take further action only if BaFin’s findings indicate any wrongdoing may have taken place,” Moeller-Scheu said. No suspects have been named, she added.
Volkswagen, Europe’s largest carmaker, rose almost fourfold in Frankfurt trading at the end of October after Stuttgart-based Porsche announced that it had acquired options to increase its stake to 74.1 percent.
The announcement spurred short-sellers to buy from a shrinking pool of stock to close their positions. Short-selling occurs when investors borrow shares and then sell them on the hope that the price will fall.
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