Portuguese Securities Commission imposes mostly suspended fines up to EUR 60,000 in four administrative infraction cases

The Portuguese Securities Commission (CMVM) published four decisions in administrative infraction proceedings, three of them handled anonymously, imposing fines for breaches of anti-money laundering and counter-terrorism financing obligations, prudential requirements applicable to financial intermediaries, and market disclosure duties. The package also included publication of a Constitutional Court ruling connected to a separate administrative infraction proceeding. Two cases concerned failures to meet AML/CTF duties, including identification, establishing the status of the beneficial owner, applying enhanced identification and due diligence measures, and examination obligations, resulting in a EUR 25,000 fine that was fully suspended and accompanied by a warning. A further case relating to a financial intermediary’s breach of prudential requirements resulted in a EUR 25,000 fine, fully suspended for two years. In a disclosure case, the CMVM imposed two fines, one of EUR 60,000 with EUR 45,000 suspended for two years and another of EUR 25,000 with EUR 12,500 suspended for two years, for breaches of the duty to disclose material information and to provide the market with true, clear, complete, and objective information. The Constitutional Court ruling in case no. 14/2017 denied the defendants’ appeals and did not consider certain constitutional issues raised by the defendants.