Home / CY AIFM Law of 2013 / PART ΙΧ – SUPERVISION RULES / CHAPTER 1 - Designation, powers and redress procedures / Section 74 -  Administrative Penalties.

Administrative Penalties.

74.-(1) In case of infringements of this Law and/or the directives issued pursuant to this Law and/or Regulation (EU) No 231/2013, the Commission may impose to the person responsible for the infringement an administrative fine, not exceeding three hundred and fifty thousand euro (€350.000) and, in case of repetition of the infringement, an administrative fine not exceeding seven hundred thousand euro (€700.000) according to the gravity of the infringement.

(2) Where it is established that the person responsible for the infringement has obtained a gain as a result of the infringement, or has allowed to another person to obtain a gain as a result of the infringement, the Commission may impose an administrative fine of up to double the amount the said person gained by the infringement.

(3) The administrative fines levied by the Commission pursuant to the provisions of this Law, shall be calculated as revenue of the Treasury of the Republic.

(4) In the event of an omission to pay administrative fine, legal measures shall be taken for the collection of the amounts due pursuant to the Cyprus Securities and Exchange Commission Law, as amended.

(5) Without prejudice to subsection (1), the Commission may impose an administrative fine to -

(a) legal persons, and/or

(b) a member of the board of directors, an executive or official or any other person in case that it is established that the infringement is due to its own fault, wilful omission or negligence.

(6) Before imposing an administrative fine in accordance with this section, the Commission shall notify the person affected about its intention to impose the administrative fine, informing the person about the reasons it intends to act in that way and giving that person the right to submit its comments within fifteen days from the date of the notification.

(7) The Commission may disclose to the public any measures or penalties imposed for infringement of the provisions of this Law, or directive issued pursuant to it, unless such disclosure would seriously jeopardise the financial markets, be detrimental to the interests of investors, or cause disproportionate damage to the parties involved.

(8) The Commission, being the competent authority of the Republic shall comply with paragraph 3 of Article 48 of Directive 2011/61/EU.