Trading Suspended In Olivetti Stock

Olivetti’s stock fell 10 percent before trading was suspended Monday on reports that authorities are investigating whether managing director Francesco Caio falsified the company’s first-half financial results.

A spokesman for the magistrate’s office couldn’t be immediately reached for comment. A spokesman for Olivetti was not immediately available to comment on the report.

Olivetti results released less than two weeks ago showed the company lost 440 billion lire in the first six months of 1996. Olivetti Director General Renzo Francesconi resigned on Sept. 4, suggesting the loss was understated. Francesconi was questioned by the Ivrea magistrate’s office for nine hours Friday.

But prosecutors Lorenzo Fornace and Alberto Braghin said that they weren’t releasing the transcript of their session with Francesconi.

Olivetti’s top management was set to begin meeting with investors Monday, but its meetings with the financial community have been postponed until Sept. 30, when the company is set to present complete first-half figures.