Hellenic Telecoms CEO To Face Criminal Prosecution - Source
June 11 2010 - 8:10AM
Dow Jones News
The head of Greek telecom incumbent Hellenic Telecommunications
Organization SA (OTE), Panagis Vourloumis, will face criminal
prosecution on accusations of corrupt practices, a judicial source
said Friday.
The accusations stem from certain contracts extended to telecom
equipment makers Siemens AG (SI), Anko and Greece's Intracom
Holdings SA (INTRK.AT)
"Prosecutors decided that the chief executive officer of OTE has
a case to answer of 'betrayal of trust' in taking decisions that
damaged public finances regarding overcharging in network
maintenance contracts between 2003 to 2007," said the source, who
requested anonymity.
The Greek state has an 20% stake in Hellenic Telecoms and
Deutsche Telekom AG (DT) has a 30% holding. Both the German giant
and the government appoint management.
Hellenic Telecom said in a statement that "all of our executives
acted in the best interest of the company and we are studying the
decision before we take legal actions in our defense. We are
convinced these charges will prove groundless."
Vourloumis declined to comment when contacted by Dow Jones
Newswires.
-By Nick Skrekas of Dow Jones, +30 210 2830685;
nskrekas@trk.forthnet.gr
Hellenic Telecommunications (NYSE:OTE)
Historical Stock Chart
From May 2024 to May 2024
Hellenic Telecommunications (NYSE:OTE)
Historical Stock Chart
From May 2023 to May 2024