The National Bank of Belgium announced that it will appeal an FSMA Sanctions Committee decision imposing a EUR 300,000 administrative fine for an alleged breach of EU market abuse rules. The committee found that the Bank delayed disclosing inside information by nine calendar days in a Sept. 21, 2022, press release and failed to identify the information as inside information. The release addressed how European Central Bank policy rate increases could affect the Bank’s earnings and dividend outlook. The Bank argues that the disclosure falls within the Market Abuse Regulation exemption for European System of Central Banks activities related to monetary policy, including communications about monetary policy developments and their potential effect on profit and loss forecasts. It also maintains that the information was already substantially public and was not sufficiently specific to constitute inside information because it contained no quantitative estimates, left the dividend impact unresolved and emphasized substantial uncertainty. The Bank will challenge the decision before the Markets Court.
National Bank of Belgium contests EUR 300,000 FSMA market abuse fine and plans appeal
The National Bank of Belgium will appeal an FSMA Sanctions Committee decision imposing a EUR 300,000 fine for allegedly delaying the disclosure of inside information by nine calendar days. The Bank argues that the communication was covered by the monetary policy exemption under EU market abuse rules and, in any event, did not contain sufficiently specific or nonpublic information.