Wirecard sues FT for ‘unethical reporting,’ shares jump

CHRISTOF STACHE | AFP | Getty Images

Markus Braun, CEO of the technology and financial services company Wirecard, poses in the company headquarters in Aschheim near Munich, southern Germany, on September 18, 2018. (Photo by Christof STACHE / AFP) (Photo credit should read CHRISTOF STACHE/AFP/Getty Images)

Shares of Wirecard jumped 4 percent on Friday after the German payments firm announced it was taking legal action against the Financial Times for “unethical reporting” into its accounting practices.

The FT has published three articles alleging fraud and misconduct in Wirecard’s accounting practices. On Thursday, one of the reports described a pattern of “book-padding” at the firm’s Singapore office.

In a statement released Friday, Wirecard said it was taking legal actions against the FT for its “unethical reporting.”

“In the article published yesterday (Thursday), Wirecard employees are slanderously prejudged with unproven and false allegations. We will use all available legal means to protect the company and in particular our employees and their personal rights,” the statement said.

The FT was not immediately available for comment when contacted by CNBC.