Inside information would allow the group’s financier to take an advantageous position before the note is published.
The French energy group Engie was sentenced to pay a fine of 80,000 euros for a few tenths of a second of trading on January 23, 2017 on the wholesale gas market, according to the Official Journal on Saturday. The decision of the Energy Regulatory Commission’s (CRE) Dispute and Sanctions Committee, seized on 25 February 2020, concerns non-compliance with the European Regulation on Wholesale Energy Market Transparency.
Engie was accused of some kind of insider dealing (a term not used by CRE), mainly because of the oral transmission of information within the company, and in particular at the time did not have a technical mechanism in place to automatically freeze screens of its business team members during dissemination within the operational information group. that may affect the market. The record thus states:that on 23 January 2017 between 06:01:08 and 06:01:17 a member of the short-term trading team used inside information“, Denotes the text of the committee published in OJ
While the announcement of the extension of the group’s production shutdown (Combigolfe) was published at 06:01:24, it recorded five purchase transactions recorded just before, between 06:01: 08 and 06:01:17, on the intraday short-term market for products for which the information is referred to as “privilegeduntil it is public. Engie does not dispute these transactions, which it describes as “human error“committed”without intent to break the rules“And emphasizes that the transactions carried out”had no impact on the market“.
A fine that could amount to more than 4 billion euros
“Engie faces a financial penalty of € 80,000“, Indicates the text, which must also be published in Engie’s next financial press release on 29 July. This is the lowest fine imposed. It could have been more than 4 billion euros (8% of the group’s turnover without tax). Engie relied in particular on ‘brevity of events“a”the absence of a repeated nature of the infringement“.
The committee considered itspecial severity»Violations committed. He notes that “the nature of involuntary human error, as the behavior of the people concerned was not based on a personal desire for profit, shows that the management system presented as strict was not able to prevent this type of “error”“And welcomes the fact that Engie has since.”has taken the necessary palliative measures“.
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