Former Porsche SE Chief Financial Officer Holger Haerter told a German court on the first day of his trial that he didn’t make misleading statements in 2009 when the company refinanced a 10 billion-euro loan ($12.5 billion).
Haerter denied charges he downplayed Porsche’s liquidity needs when negotiating with BNP Paribas SA about a 500 million-euro share of the loan. He said prosecutors didn’t understand the complex terminology used in the discussions.
Under German law, loan fraud doesn’t require that a creditor is actually deceived. The law punishes incorrect statements about the economic situation of a business that seeks a loan, regardless of the actual effect of the statement on the creditor.