Investors have canvassed courts in Europe and the US to repeatedly sue Porsche over its failed attempt to take over Volkswagen in 2008 (see here, and here and here), and they have repeatedly failed to win any cases. You can add another big loss to the tally, with Bloomberg reporting that the Stuttgart Regional Court has dismissed a 1.4-billion euro ($1.95B US) lawsuit, the decision explained by the court's assertion that the investors would have lost on their short bets even if Porsche hadn't misled them.

Examining the hedge funds' motives for stock purchases and the bets that VW share prices would fall, judge Carola Wittig said that the funds didn't base their decisions on the key bits of "misinformation," and instead were participating simply in "highly speculative and naked short selling," only to get caught out.

With other cases still pending, the continued streak of victories bodes well for Porsche's courtroom fortunes, since judges will expect new information to consider overturning precedent. If there is any new info, it could come from the potential criminal cases still outstanding against former CEO Wendelin Wiedeking and CFO Holger Härter, who were both indicted on charges of market manipulation.


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    • 1 Second Ago
  • 4 Comments
      JaredN
      • 9 Months Ago
      Near as I can tell, the hedge fund guys got beaten by Porsche at their own game and are crying into their 50-year-old scotch. I'm having a hard time feeling any sympathy for them.
      Vwfanatic
      • 9 Months Ago
      Now these "Masters of The Universe" billion dollar losers get to cry all the way home to their million dollar estates and salve their wounds with caviar!
      Michaele
      • 9 Months Ago
      Any day a hedge fund gets it shoved up the dark nether region is a great day.
      Nick
      • 9 Months Ago
      Good. **** these hedge fund crooks.