Parmalat boss 'knew of fraud'

Italian prosecutors looking into the near collapse of food giant Parmalat claim the company’s founder was fully aware of multi-billion euro fraud at his company, and urged a judge to keep the one-time business baron behind bars during investigations.

After revelations of a multi-billion euro hole in the company’s balance sheet, Parmalat entered bankruptcy protection last week and founder and former chief executive officer Calisto Tanzi left the country.