The new chairman at Telecom Italia, Guido Rossi, is today expected to explain to the Italian stock market regulator Consob, the reasons behind the firm’s decisions on reorganising its network operations.

According to reports in the Italian press there is deep speculation about whether Rossi will cut lose its mobile unit (TIM) or if it is to remain a department of the group.

The Italian daily, Corriere della Sera, cited unnamed sources who are interested in buying the mobile unit of Telecom Italia.

Separately the Italian justice minister on Saturday ordered administrative checks of Telecom Italia to understand how wiretapping is carried out by the firm. The move follows Friday’s police raid on the firm in a massive case of illicit data gathering involving a former official at the company.

Justice Minister Clemente Mastella said that since wiretapping can be part of an investigation and a trial, it was necessary to ensure there are no further distortions.

Officials were keen to stress that the “checks” did not constitute an investigation into TI, however that does appear increasingly likely as calls for PM Prodi to resign after the company accused him of interfering.

The wiretapping investigation into an alleged spy ring led to the arrest of 20 people, including former Telecom Italia chief of security Giuliano Tavaroli and Emanuele Cipriani, head of a private investigation agency in Florence.

Those arrested are accused of spying on a number of businessmen, politicians and sports figures.

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