Airbus Parent Involved In Insider Trading
Evidence of insider trading was found at EADS. The parent company of Airbus, the company has been under investigation over the last eighteen month after it misled the financial market by not properly publishing required information. The investigation was triggered when some shady share trading occurred shortly at EADS announced delays in the production of the Airbus A380 super jumbo jet in 2006. After that point in time, EADS shares began to drop a bit more each quarter.
AMF, the company leading the investigation was not convinced by EADS that some of their executives and major shareholders were allowed to sell their stock during a pre-approved window before the announcement. AMF is going to determine whether or not those stock sellers knew there was trouble coming done the line. So far twenty-one people have been interviewed during the investigation. The suspicious firing of Noel Forgeard, EADS Director during the announcement, and then subsequent resignation of Forgeard’s replacement, Christian Streiff have left AMF with additional questions about the insider trading information that took place.