Digital Value announced on Wednesday that its board has appointed Paolo Vantellini as chairman and Riccardo Benedini as the new chief executive officer, following the resignation of Massimo Rossi, who was placed under investigation on Tuesday.
Rossi, who held dual roles as chairman and CEO, is under investigation along with 17 others for alleged corruption related to public procurement contracts, as indicated in legal documents reviewed by Reuters.
In its statement, the IT service provider confirmed that Rossi’s replacement has been implemented across all subsidiaries and expressed confidence that the ongoing investigation would clarify all aspects of the situation.
The announcement had a significant impact on the market, with Digital Value’s shares closing down 78% at 11.74 euros after experiencing a sharp decline shortly after trading began around 1500 GMT.
