The Hamburg public prosecutor’s office has, inter alia, carried out searches at the offices of Conergy AG on 16 June 2009. The searches were conducted in the context of inquiries regarding alleged violations against provisions of the German Commercial Code (HGB) and the German Securities Trade Act (WPHG) in the period between November 2006 and April 2007. Conergy AG itself is not accused in the inquiries, as they are directed against certain individuals.
Among other things, one allegation is that the financial situation of the group was not correctly presented in the consolidated financial statements for 2006. This allegation concerns facts and circumstances, which were already identified by the German Financial Reporting Enforcement Panel (DPR) in the consolidated financial statements 2006. The respective findings of DPR were announced by the company in the electronic Federal Gazette on 6 August 2008. The new Management Board of Conergy AG, actively in office since November 2007, had already earlier corrected and communicated the findings. The findings included, among other things, the treatment of a real estate transaction in Frankfurt (Oder) as well as the non-consolidation of project companies. Details hereto are available on pages 112 et seq. and 115 et seq. in the annual report for 2007. We would like to point out that the review by DPR regarding the consolidated financial statements 2006 and the half year financial report 2007 of Conergy AG are terminated with the respective announcements in the electronic Federal Gazette. In the context of an ad-hoc announcement of Conergy AG on 25 October 2007 the German Federal Financial Supervisory Authority (BaFin) had directed two information requests to the company, which have been complied with and extensively answered. In April 2009 BaFin has notified Conergy AG that it will not commence formal proceedings. |