Erscheinung:20.10.2023 | Topic Measures TC Unterhaltungselektronik Aktiengesellschaft: BaFin imposes administrative fine
On 10 October 2023, the Federal Financial Supervisory Authority (BaFin) imposed an administrative fine amounting to 13,000 euros on TC Unterhaltungselektronik Aktiengesellschaft. The fine was imposed because the company had contravened obligations under the German Securities Trading Act (Wertpapierhandelsgesetz – WpHG). TC Unterhaltungselektronik Aktiengesellschaft had failed to publish its half-yearly financial report for the financial year 2022 within the prescribed period.
Background information:
Annual financial reports provide information on companies’ assets, financial position and results of operations. This information is important to investors because it allows them to make informed investment decisions. Companies such as TC Unterhaltungselektronik Aktiengesellschaft that are domiciled in Germany and issue securities that are traded on an organised market in Germany must publish a half-yearly financial report no later than three months after the end of each reporting period.
In addition, they must publish an announcement about the date from which and the website where their half-yearly financial reports are made publicly available, in addition to their availability in the company register. Such announcements must be published no later than three months after the end of each reporting period and before the half-yearly financial report.
Failure on the part of a company to publish financial reports and the corresponding announcements, or failure to do so within the prescribed period, constitutes a contravention of the Securities Trading Act. BaFin may in each case impose administrative fines on companies that fail to comply with this obligation. The maximum amount for this fine is 10 million euros or up to 5% of total revenue.
Announcement
On 10 October 2023, the Federal Financial Supervisory Authority (BaFin) imposed an administrative fine amounting to 13,000 euros on TC Unterhaltungselektronik Aktiengesellschaft.
The sanction related to a breach of section 115 (1) sentence 1 of the German Securities Trading Act (Wertpapierhandelsgesetz – WpHG). TC Unterhaltungselektronik Aktiengesellschaft failed to make its half-yearly financial report for the financial year 2022 publicly available within the prescribed period.
The company may lodge an appeal against the administrative fine order.
Update (07.11.2023):
The administrative fine order is final and binding.
