Section 1: Bankruptcy.

The provisions of this section apply: 1° To any person exercising a commercial or craft activity, to any farmer and to any natural person exercising an independent professional activity, including a liberal profession subject to a legislative or regulatory status or whose title is protected; 2° To any person who has, directly or indirectly, in law or in fact, managed or wound up a legal entity governed by private law;…

In the event of the opening of receivership or compulsory liquidation proceedings, the persons mentioned in Article L. 654-1 against whom one of the following acts has been established are guilty of bankruptcy: 1° Avoir, dans l’intention d’éviter ou de retard l’ouverture de la procédure de redressement judiciaire ou de liquidation judiciaire, soit fait des achats en vue d’une resvente au-dessous du cours, soit employé des moyens ruineux pour se…

Bankruptcy is punishable by five years’ imprisonment and a fine of €75,000.

When the perpetrator or accomplice to bankruptcy is a manager of an investment services provider, the penalties are increased to seven years’ imprisonment and a fine of €100,000. .

Natural persons guilty of the offences provided for in articles L. 654-3 and L. 654-4 shall also incur the following additional penalties: 1° Disqualification from civic, civil and family rights, in accordance with the terms of article 131-26 of the Penal Code; 2° Prohibition, in accordance with the procedures laid down by Article 131-27 of the Criminal Code, either from holding a public office or from exercising the professional or…

Corporate entities held criminally liable for the offences provided for in Articles L. 654-3 and L. 654-4 incur the following penalties: 1° A fine, in accordance with the terms set out in Article 131-38 of the Penal Code; 2° The penalties set out in Article 131-39 of the Penal Code. The prohibition mentioned in 2° of Article 131-39 of the Penal Code applies to the activity in the exercise or…