FRANKFURT -(Dow Jones)- German telecommunications company Deutsche Telekom, Thursday said the regional court of Bonn has ruled in favor of Deutsche Telekom in a dispute between it and its shareholder KfW and the German Ministry of Finance.
The Bonn-based company had sued the state-owned bank KfW and the Federal Finance Ministry for EUR112 million in damages, according to Deutsche Telekom, adding the German government has the option to appeal against the decision.
The company thus confirmed a media report published earlier Thursday.
Deutsche Telekom had sued as it holds KfW and the German government responsible for damage claims it had to pay in relation to its listing in the U.S., according to the report.
After the Deutsche Telekom share dropped to around EUR10 after EUR66.50 at the time when it was listed in the U.S., some U.S. shareholders sued Deutsche Telekom, which then paid EUR112 million in total to the holders, according to the report.
Deutsche Telekom said it acted on behalf of and on the disposition of the German government and thus claims back the money it paid to the U.S. shareholders, according to the report.
Company Web site: http://www.telekom.de
-By German Bureau, Dow Jones Newswires; +49 69 29 725 500
(END) Dow Jones Newswires"
Posted to the site on 14th June 2007
Posted to: www.cellular-news.com/story/24359.php