Noel Forgeard, the European Aeronautic Defence and Space Co. former co-CEO, has been arrested by the French police for interrogations regarding insider-trading accusations.

Mr. Forgeard has been the company’s co-chief executive between 2005 and 2006, but he was ousted because of the company’s bad situation on the market. Before this, he worked since 1998 at EADS’s parent company Airbus, where he presided over the company’s transformation from a consortium owned by the English, France, Spanish and German governments into a full corporation.

In March 2007, Noel Forgeard has sold much of his shares in the company, followed shortly by other investors, like the German car manufacturing company Daimler AG and French media group Lagardere SCA. Four months later, in June 2006, EADS announced that it was experiencing problems with its A380 project, stating that the costs for development had been higher than expected and there had also been delays.

After the 2006 announcement, EADS shares dropped 26 percent within a day. Mr. Forgeard is supposed to have made $6.7 million by selling his stock while the price was still high.

The French police will hold Mr. Forgeard under custody for 24 hours, with the possibility of extending the period to 48 hours. After this period expires he will be let to go, unless the investigating judges will charge him with something.

Mr. Forgeard is not the only person facing these accusations. 17 more former EADS officials have or will be called for questioning. Insider-trading charges have been filed against Daimler and Lagardere also, but he two companies have shown their confidence that they will not be found guilty of anything.