Ex-Telecom Italia Chairman Denies Any Illegal Act In Spy Case

MILAN -(Dow Jones)- Marco Tronchetti Provera, former chairman of Telecom Italia, Sunday said he has never acted illegally or ordered illegal investigations, after his name appeared in a court document in a probe into alleged stealing of personal information.

In an open letter published by the Italian daily La Stampa, Tronchetti Provera reiterated that "never in my life, and during the course of my professional career, I've acted in violation of the law, either directly or by giving orders to do so."

Milan magistrates Thursday had ordered the arrest of three former Telecom Italia employees for alleged illegal espionage activities, bringing a fresh wave of scandal crashing down onto Italy's largest telecommunications operator.

The suspects were identified as Fabio Ghioni, the head of information security at Telecom Italia, consultant Rocco Lucia and former journalist Guglielmo Sasinini, according to a 230-page arrest warrant signed by Judge Giuseppe Gennari and widely cited in newspaper reports Friday.

A fourth warrant was served in prison on Giuliano Tavaroli, the former head of security at Telecom Italia, who had already been incarcerated on illegal espionage charges as a result of a separate investigation.

Milan-based magistrates are investigating alleged spying by former Telecom Italia employees in order to damage business competitors, businessmen and politicians.

Some of the people arrested are also accused of having siphoned big amounts of money from Telecom Italia, as apparent rewards for false investigations.

According to newspaper reports, the arrest warrant issued Thursday includes a statement from one of the people being questioned, which says that Tronchetti had taken an interest in some of the spying. The judge himself wrote in the warrant that the alleged stealing of personal information was to advantage Telecom Italia's controlling shareholder.

"I intend to repeat to everyone that the only fact, real and incontestable, that I am certain of is that never, and again never, did I order illegal acts to be carried out against anyone," Tronchetti wrote in his letter.

Tronchetti quit as chairman of Telecom Italia over a strategy row with the government last September, but he is still chairman of Pirelli, which controls Telecom Italia through holding company Olimpia.

"Never did I request illegal information, never did I receive or read dossiers against adversaries, competitors, people with different opinions, or even people openly hostile," he said.

The four men arrested Thursday are also accused of using Telecom Italia's resources to spy on Vittorio Colao, the former chief executive of RCS Mediagroup - Il Corriere della Sera's publishing group - and on Massimo Mucchetti, deputy director of Il Corriere, as part of an elaborate intelligence operation.

Addressing this aspect of the case, Tronchetti said Sunday that, as representative of Pirelli in the shareholders' pact of Il Corriere della Sera, he always tried "to constitute a connecting element among the shareholders," in order to guarantee the independence of Italy's main newspaper.

Tronchetti closed his letter by saying he will continue to collaborate with magistrates in order to allow them to "search for the truth with the force of facts and evidence" and confirm his integrity.

-By Giada Zampano, Dow Jones Newswires; 39-3487678016; giada.zampano@dowjones.com

(END) Dow Jones Newswires "

Posted to the site on 22nd January 2007