| Porsche supports legal move against VW |
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Porsche has said that it intends to support the European Commission in its attempts to overthrow the so-called ‘Volkswagen Law’, which prevents shareholders exercising more than 20 per cent voting rights regardless of the actual size of their holding. The European Commission is suing Germany over the VW Law, claiming it prevents the free flow of capital. On Tuesday, Dec. 12, the Commission will challenge the law at the European Court of Justice hearing. “The law is not up-to-date anymore. It needs to be abolished, and we will stand up for this,” Porsche’s CEO, Wendelin Wiedeking told German newspaper Welt am Sonntag. A change in the law would substantially alter Porsche’s ability to get its own way at Volkswagen, where it currently holds a 27.4 per cent stake, and which soon will increase to 29.9 per cent,. Porsche is owned by the family of VW Chairman Ferdinand Piech, and if the European Commission is successful in its action against the German government, the company’s large share holding should be sufficient to allow it to assert its interests at Volkswagen. “Given the low attendance at German annual meetings, there is not necessarily a need to hold 50 percent,” Wiedeking told Welt am Sonntag.
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