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Porsche CEO Blume Under Investigation For Financial Misdeeds

You might forgive automotive CEOs for feeling their collars get tighter these days. A few years back, the diesel scandal at Volkswagen caused all sorts of worries for executives at that German automaker, and former Renault-Nissan head Carlos Ghosn has spent much of the past few months in detention, charged with an array of financial misdeeds.

Now authorities have turned their attention to Porsche. More specifically, German investigators are looking into possible financial misdeeds carried out by company CEO Oliver Blume.

According to German media outlet Stuttgarter Nachrichten, German authorities believe that the Porsche boss meted out “disproportionate” payments to at least one member of the company’s works council, which would constitute a breach of fiduciary trust, a criminal offense in Germany. If found guilty, the executive could face up to 10 years in prison.

German law enforcement searched Oliver Blume offices on Tuesday, but it is not known at present if any incriminating evidence was unearthed.

As of now, Porsche has not made any public statement concerning the reports of an investigation into Oliver Blume.

Photo: V.Aubé