Olivetti to face home and away firing squad

Olivetti looks set to experience more turbulence as it came under attack from both foreign investors and the Italian government.

According to European reports, Mark Pignatelli, a senior figure at Barings Asset Management, criticised Olivetti for contemplating selling its 41 per cent share in Omnitel, a lucrative part of the firm's income.

This coincided with the threat of a government enquiry into Olivetti after Edo Rossi, an MP for the Communist Refoundation Party, leaked details of an interview between the lower parliament, Pignatelli and Dario Trevisan, appointed to the Olivetti board last week.

The Barings executive was reported to have said the prospect of finding fresh capital for the troubled firm was 'terrrifying'. The Italian press reported that investors had taken shares in Omnitel because it offered an inexpensive route into a market worth a great deal.