Investigators mull T.Italia, Pirelli probe-sources

MILAN, July 19 (Reuters) - Italian magistrates are looking to see whether Telecom Italia (TLIT.MI: Quote, Profile, Research, Stock Buzz) and Pirelli (PECI.MI: Quote, Profile, Research, Stock Buzz) can be held accountable for the actions of their employees who spied on several Italian public figures, sources familiar with the situation said on Saturday.

The companies could each be fined up to one million euros, newspaper La Repubblica said.

The decision to investigate the two companies comes after more than two years of investigation into alleged spying by Telecom Italia employees and the provision of personal information to private investigators by company employees.

Magistrates will examine whether the companies broke Italian law requiring employers to prevent their employees from acting illegally, the sources said, confirming press reports on Saturday.

A Pirelli spokeswoman declined comment. Comment from Telecom Italia was not immediately available.

Pirelli held an indirect controlling stake in Telecom Italia until last October.

Italian daily Corriere della Sera reported on Saturday prosecutors interviewed Pirelli Chairman Marco Tronchetti Provera and Telecom Italia's former top executive Carlo Buora -- as witnesses not as suspects -- at the end of June.

The sources said Tronchetti Provera and Buora are not being investigated.

The investigation has so far has led to the arrest of several people including the former head of security at Telecom Italia Luciano Tavaroli in September 2006.

One of the people under investigation has mentioned Italian Economy Minister Giulio Tremonti, businessmen Diego Della Valle and Carlo De Benedetti and the former head of TIM Brasil Carla Cico as some of many public figures spied on.