Spain: Telefonica SA Chairman Cesar Alierta Flatly Denies Insider Trading Charges

In his criminal trial for insider trading that began this week (previously discussed here), Telefonica Chairman Cesar Alierta boldly denied the charges against him, stating “I didn’t buy one share of Tabacalera, either directly or indirectly, in 1997.” He testified that the charges were the result of a prosecutor that “did not properly understand the functioning of stock markets.”

Reuters reports that Alierta spent 2-1/2 hours answering questions from the state prosecutor, his first public testimony on the allegations that date back over a decade regarding alleged trading in tobacco company Tabacalera SA.  Alierta was then the Chairman of Tabacalera SA.

Alierta reportedly stated that neither his “co-accused” nephew nor other family members had knowledge of market-moving information about Tabacalera.  “No relative of mine consulted me about any purchase or sale,” he testified.

Read the Reuters article