Bermuda based hedge fund Liverpool Limited Partnership is continuing its aggressive stance with companies it invests in. The latest to come under attack from the fund is Volkswagen, the German car manufacturer.

The fund is set to challenge VW at its annual general meeting today, claiming the company could have saved itself over $ 350 million in the repurchase of old shares.Even though VW's main shareholder is not backing the hedge fund's challenge, the claim is being taken seriously by the company.

Liverpool Limited Partnership hit the headlines back in February when it launched a blockade of a $11.8 billion deal between Telecom Italia and Olivetti. The two Italian companies put forward a proposal for share conversion and buy back. The intention was that Telecom Italia would use money from conversion of non-voting shares to buy back ten percent of its ordinary shares from Olivetti.

This transaction would raise $11.8 billion which Telecom would use to buy back up to 10 percent of ordinary shares from Olivetti. These moves were designed to free Telecom to make major acquisitions and alliances and would reduce Olivetti's debts and cut its stake in Telecom from 55 percent to 44 percent.

Fund managers, led by Liverpool Limited Partnership, revolted at the suggested price of the shares and mustered a boycott. They got over 16 percent of shareholders' support for their move.

The hedge fund is not letting go and at the end of this week it is expected to present a lawsuit to Telecom Italia on the issue.