Blow to Vivendi. According to the newspaper Valor Economico, the French group headed by Jean-Bernard Levy had committed irregularities in the acquisition of the Brazilian telecom operator GVT. According to information from the newspaper, without citing its sources, Vivendi did not inform the "appropriate investors." The supervisory authority of the Brazilian markets, CVM believes that the French government carried out an operation "bad faith" after starting last November a tender offer for 100% stake in GVT.

Vivendi is in fact suspected of violating securities regulations in skewing his information to markets, and other pretenders to the redemption of this Brazilian Telecom Operator.He allegedly claimed to hold a controlling stake in the capital of GVT as he had in fact acquired option contracts on the title of Brazilian online payday advance. Vivendi would have claimed a victory before actually winning the race.

The group first acquired 53% of GVT for 2.2 billion dollars, then gradually took total control of the Brazilian operator to four billion dollars. The transaction closed in late April after a fierce battle with Spain's Telefonica.

The Market Authority has not confirmed this information. A spokesman said that the CVM agency had issued no press since its announcement in March that it was opening an investigation into Vivendi for possible irregularities.

If fraud is proved, Vivendi would afflict a large fine by the Brazilian stock Constable.According to the daily Valor, it would be at least 1.3 billion euros.