MILAN, April 11 (Reuters) - Activist investor Bluebell

Capital Partners is proposing to nominate an outgoing Google

executive as candidate for the role of CEO of Telecom Italia

(TIM), in a challenge to Pietro Labriola's bid for a

second term.

In a document presenting Bluebell's vision for TIM, seen by

Reuters, it proposed Laurence Lafont, the outgoing

vice-president for strategic industries at Google Cloud

in Europe, as candidate for the role of TIM CEO.

TIM investors are due to meet on April 23 to appoint a new

board of directors.

Representatives for Bluebell, which holds a 0.5% stake in

TIM, were not available to comment. Bluebell had filed a slate

of nominees for TIM's board last month without indicating any

candidate for the role of CEO.

The vote comes at a crucial time for the ailing former

telephone monopoly, which is seeking a revamp centred on the

sale of its domestic fixed-line access network to U.S. fund KKR

.

In the document, Bluebell describes TIM's decision to sell

its prized domestic fixed-line network to KKR as "flawed

at inception".

"The only brief Bluebell provided to its board candidates is

to review the status of the transaction, and act in the best

interest of TIM and all its shareholders," the document said.

Labriola, whom TIM's outgoing board has proposed for

reappointment, has also been challenged by minority investor

Merlyn Partners, which has disclosed a 0.53% stake.

Merlyn is calling for a review of the terms of the network

sale and is proposing a former TIM deputy general manager as CEO

as part of a drastic overhaul of operations.

The sale of the network, backed by the Italian government,

which indirectly controls 10% of TIM, is worth up to 22 billion

euros. More than a half of TIM's domestic staff will move to the

spun-off network business in the transaction, which is aimed at

slashing TIM's debt pile.

TIM's top investor Vivendi has questioned the

sustainability of the business left behind, and challenged the

sale in court.

Vivendi, which left TIM's board last year after a round of

fruitless negotiations with the government on the future of TIM,

could use its 24% stake to obstruct Labriola's reappointment if

it chose to back an alternative slate of candidates.