CEO of OMV linked to insider trading?

VIENNA, Aug. 7 (UPI) -- Public prosecutors in Vienna targeted their examination of insider trading at Austrian energy giant OMV on the company's chief executive officer.

Prosecutors examined the purchase of OMV shares by Chief Executive Officer Wolfgang Ruttenstorfer when the company dumped more than 20 percent of its stake in Hungarian rival Mol in March 2008, the Financial Times reports.

The Austrian energy company tried unsuccessfully to take control of Mol but abandoned the deal due to concerns raised by the European Commission over market competition.

Mol lashed out at OMV in April, claiming it was acting as a Russian proxy in a deal that included a 21 percent share in Mol.

Mol Chairman Zsolt Hernadi called the deal suspicious, noting the deal was an aggressive bid by Russia that positioned Austria as a client state.

The OMV-Mol deal came amid political upheavals in Hungary, where the global recession contributed to an environment that brought the resignation of Ferenc Gyurcsany from the Hungarian premiership in March.

Ruttenstorfer bought OMV shares one week before dumping the Mol shares, which created a surge in OMV stock prices.

Representatives for OMV deny the insider trading allegations, saying Ruttenstorfer had "no connection" to the Mol shares and that "everything was carried out correctly."