(Reuters) -STMicroelectronics’ supervisory board on Thursday denied allegations of insider trading concerning two members of the chipmaker’s managing board.

The statement came a day after Italy’s economy minister Giancarlo Giorgetti accused STMicro’s management of having sold shares it held a day before reporting negative results.

"Stock sales done during company’s blackout period were made by company’s stock plan administrator, through an automatic procedure," STMicro said in the statement.

Giorgetti also said the Italian government opposes STMicro’s CEO Jean-Marc Chery. The Italian and French governments own a combined 27.5% share in STMicro through a holding company.

European chipmakers, including STMicro, are facing a downturn in their strongholds of automotive and industrial markets.