Drillisch AG, a German provider of low-cost phone services, said a court issued an order that would require Deutsche Telekom AG to withdraw a Nov. 7 press release that caused Drillisch shares to fall 61 percent.
A Munich court issued the preliminary injunction in the case, Drillisch said in a statement today. Deutsche Telekom said in the Nov. 7 release that Maintal-based Drillisch activated “several tens of thousands” of prepaid mobile-phone connections since February that weren’t based on actual customer relationships.
The court order is the latest Drillisch response to Deutsche Telekom’s decision to distribute the Nov. 7 release and file a criminal complaint in Hanau. Drillisch yesterday said prosecutors were investigating Deutsche Telekom AG board member Manfred Balz over allegations of market manipulation.
Philipp Blank, a spokesman for Bonn-based Deutsche Telekom, said the company hasn’t received an injunction and couldn’t comment further.
Drillisch Chief Executive Officer Paschalis Choulidis said at the time the allegations were “baseless.” The company said in its statement yesterday that prosecutors opened the probe into Balz after a Drillisch lawyer sent a letter.
Drillisch buys access to networks from operators such as Vodafone Group Plc and sells phone services to customers with a focus on the no-frills segment. It served about 2.6 million mobile-phone clients as of the end of September.